Nova assists clients in the negotiation of long-term wholesale power supply services.

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Regulatory Support

Kevin O’Donnell of Nova Energy Consultants, Inc. has appeared as an expert witness or assisted in the settlement process in over 60 utility regulatory cases.

The topics that he has covered in his testimonies include:

  • Return on equity
  • Capital structure
  • Rate design
  • Cost of service
  • Accounting
  • Bond defeasance
  • Double leverage in utility capital structures
  • Holding company applications
  • Demand side management/energy efficiency applications
  • Nuclear construction financing

Download O'Donnell Testimony [PDF]

  • Bio
  • Regulatory Appearances

Kevin O’Donnell of Nova Energy ConsultantsKevin W. O'Donnell, is the founder of Nova Energy Consultants, Inc. in Cary, NC.  Mr. O'Donnell's academic credentials include a B.S. in Civil Engineering - Construction Option from North Carolina State University as well as a MBA in Finance from Florida State University.  Mr. O'Donnell is also a Chartered Financial Analyst (CFA), which is a highly sought-after designation primarily found in the Wall Street investment community.

Mr. O'Donnell has over twenty-five years experience working in the electric, natural gas, and water/sewer industries. He is very active in municipal power projects and has assisted numerous southeastern U.S. municipalities cut their wholesale cost of power by as much as 67%.  On Dec. 12, 1998, The Wilson Daily Times made the following statement about O'Donnell.

Although we were skeptical of O'Donnell's efforts at first, he has shown that he can deliver on promises to cut electrical rates.

In May of 1996 Mr. O'Donnell testified before the U.S. House of Representatives, Committee on Commerce, Subcommittee on Energy and Power regarding the restructuring of the electric utility industry.  More recently, Mr. O'Donnell has worked as a consultant to independent (e.g. non-Power Agency) municipalities in the Carolinas in numerous filings before the Federal Energy Regulatory Commission.  Mr. O'Donnell is also a frequent speaker at seminars around the country on issues related to municipal aggregation and municipalization.

Mr. O'Donnell has submitted testimony as an expert witness in over 40 regulatory proceedings before the North Carolina Utilities Commission, the South Carolina Public Service Commission, the Virginia Corporation Commission, and the Florida Public Service Commission. His area of expertise has included rate design, cost of service, rate of return, capital structure, nuclear decommissioning, gas expansion feasibility studies, fuel adjustments, merger transactions, cogeneration studies, holding company applications, as well as numerous other accounting, financial, and utility rate-related issues.

Mr. O'Donnell is the author of the following two articles: "Aggregating Municipal Loads: The Future is Today" which was published in the Oct. 1, 1995 edition of Public Utilities Fortnightly; and "Worth the Wait, But Still at Risk” which was published in the May 1, 2000 edition of Public Utilities Fortnightly.  Mr. O'Donnell is also theco-author of "Small Towns, Big Rate Cuts" which was published in the January, 1997 edition of Energy Buyers Guide. All of these articles discuss how rural electric systems can use the wholesale power markets to procure wholesale power supplies.

Regulatory Appearances of Kevin W. O'Donnell, CFA

Nova Energy Consultants, Inc.
  Name of State Docket  Client Testimony
Year Applicant Jusrisdiction No. Employer Issues
1985 Public Service Company of NC NC G-5, Sub 200 Public Staff of NCUC Return on equity, capital structure
1985 Piedmont Natural Gas Company NC G-9, Sub 251 Public Staff of NCUC Return on equity, capital structure
1986 General Telephone of the South NC P-19, Sub 207 Public Staff of NCUC Return on equity, capital structure
1987 Public Service Company of NC NC G-5, Sub 207 Public Staff of NCUC Return on equity, capital structure
1988 Piedmont Natural Gas Company NC G-9, Sub 278 Public Staff of NCUC Return on equity, capital structure
1989 Public Service Company of NC NC G-5, Sub 246 Public Staff of NCUC Return on equity, capital structure
1990 North Carolina Power NC E-22, Sub 314 Public Staff of NCUC Return on equity, capital structure
1992 North Carolina Natural Gas NC G-21, Sub 306 Public Staff of NCUC Natural gas expansion fund
1992 North Carolina Natural Gas NC G-21, Sub 307 Public Staff of NCUC Natural gas expansion fund
1995 Pennsylvania & Southern Gas Company NC G-3, Sub 186 Public Staff of NCUC Return on equity, capital structure
1995 North Carolina Natural Gas NC G-21, Sub 334 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
1995 Carolina Power & Light Company NC E-2, Sub 680 Carolina Utility Customers Assoc. Fuel adjustment proceeding
1995 Duke Power NC E-7, Sub 559 Carolina Utility Customers Assoc. Fuel adjustment proceeding
1996 Piedmont Natural Gas Company NC G-9, Sub 378 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
1996 Piedmont Natural Gas Company NC G-9, Sub 382 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
1996 Public Service Company of NC NC G-5, Sub 356 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
1996 Cardinal Extension Company NC G-39, Sub 0 Carolina Utility Customers Assoc. Capital structure, cost of capital
1997 Public Service Company of NC NC G-5, Sub 327 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
1998 Public Service Company of NC NC G-5, Sub 386 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
1998 Public Service Company of NC NC G-5, Sub 386 Carolina Utility Customers Assoc. Natural gas transporation rates
1999 Public Service Company of NC/SCANA Corp NC G-5, Sub 400 Carolina Utility Customers Assoc. Merger case
1999 Public Service Company of NC/SCANA Corp NC G-43 Carolina Utility Customers Assoc. Merger Case
1999 Carolina Power & Light Company NC E-2, Sub 753 Carolina Utility Customers Assoc. Holding company application
1999 Carolina Power & Light Company NC G-21, Sub 387 Carolina Utility Customers Assoc. Holding company application
1999 Carolina Power & Light Company NC P-708, Sub 5 Carolina Utility Customers Assoc. Holding company application
2000 Piedmont Natural Gas Company NC G-9, Sub 428 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
2000 NUI Corporation NC G-3, Sub 224 Carolina Utility Customers Assoc. Holding company application
2000 NUI Corporation/Virginia Gas Company NC G-3, Sub 232 Carolina Utility Customers Assoc. Merger application
2001 Duke Power NC E-7, Sub 685 Carolina Utility Customers Assoc. Emission allowances and environmental compliance costs
2001 NUI Corporation NC G-3, Sub 235 Carolina Utility Customers Assoc. Tariff change request.
2001 Carolina Power & Light Company/Progress Energy Ventures NC E-2, Sub 778 Carolina Utility Customers Assoc. Asset transfer case
2001 Duke Power NC E-7, Sub 694 Carolina Utility Customers Assoc. Restructuring application
2002 Piedmont Natural Gas Company NC G-9, Sub 461 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
2002 Cardinal Pipeline Company NC G-39, Sub 4 Carolina Utility Customers Assoc. Cost of capital, capital structure
2002 South Carolina Public Service Commission SC 2002-63-G South Carolina Energy Users Committee Rate of return, accounting, rate design, cost of service
2003 Piedmont Natural Gas/North Carolina Natural Gas NC G-9, Sub 470 Carolina Utility Customers Assoc. Merger application
2003 Piedmont Natural Gas/North Carolina Natural Gas NC G-9, Sub 430 Carolina Utility Customers Assoc. Merger application
2003 Piedmont Natural Gas/North Carolina Natural Gas NC E-2, Sub 825 Carolina Utility Customers Assoc. Merger application
2003 Carolina Power & Light Company NC E-2, Sub 833 Carolina Utility Customers Assoc. Fuel case 
2004 South Carolina Electric & Gas SC 2004-178-E South Carolina Energy Users Committee Return on equity, capital structure, rate design, cost of service
2005 Carolina Power & Light Company NC E-2, Sub 868 Carolina Utility Customers Assoc. Fuel case 
2005 Piedmont Natural Gas Company NC G-9, Sub 499 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
2005 South Carolina Electric & Gas SC 2005-2-E South Carolina Energy Users Committee Fuel application
2005 Carolina Power & Light Company SC 2006-1-E South Carolina Energy Users Committee Fuel applicatoin
2006 IRP in North Carolina NC E-100, Sub 103 Carolina Utility Customers Assoc. Submitted rebuttal testimony in investigation of IRP in NC.
2006 Piedmont Natural Gas Company NC G-9, Sub 519 Carolina Utility Customers Assoc. Creditworthiness issue
2006 Public Service Company of NC NC G-5, Sub 481 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
2006 Duke Power NC E-7, 751 Carolina Utility Customers Assoc. Application to share net revenues from certain wholesale power transactions
2006 South Carolina Electric & Gas SC 2006-192-E South Carolina Energy Users Committee Fuel application
2007 Duke Power NC E-7, Sub 790 Carolina Utility Customers Assoc. Application to construct generation
2007 South Carolina Electric & Gas SC 2007-229-E South Carolina Energy Users Committee Rate of return, accounting, rate design, cost of service
2008 South Carolina Electric & Gas SC 2008-196-E South Carolina Energy Users Committee Base load review act proceeding
2009 Duke Power NC E-7, Sub 909 Carolina Utility Customers Assoc. Return on equity, capital structure, rate design, cost of service
2009 Western Carolina University NC E-35, Sub 37 Western Carolina University Rate of return, accounting, rate design, cost of service
2009 Duke Power NC E-7, Sub 909 Carolina Utility Customers Assoc. Cost of service, rate design, return on equity, capital structure
2009 South Carolina Electric & Gas SC 2009-261-E South Carolina Energy Users Committee DSM/EE rate filing
2009 Duke Power SC 2009-226-E South Carolina Energy Users Committee Return on equity, capital structure, rate design, cost of service
2009 Tampa Electric FL 080317-EI Florida Retail Federation Return on equity, capital structure
2010 Duke Power SC 2010-3-E South Carolina Energy Users Committee Return on equity, capital structure, rate design, cost of service
2010 South Carolina Electric & Gas SC 2009-489-E South Carolina Energy Users Committee Return on equity, capital structure, rate design, cost of service
2010 Virginia Power VA  PUE-2010-00006 Mead Westvaco Rate design
2011 Duke Energy SC 2011-20-E South Carolina Energy Users Committee Nuclear construction financing
2011 Northern States Power MN E002/GR-10-971 Xcel Large Industrials Return on equity, capital structure