In my home country, due to electricity being classified as daily necessities, the profit is being regulated almost the same way as the article you cited above.

In my home country, due to electricity being classified as daily necessities, the profit is being regulated almost the same way as the article you cited above. US Version: Total Revenue Requirement = Rate Base × Allowed Rate of Return (About 10%) + *Expenses* Taiwan Version: Total Revenue Requirement = Rate Base × Allowed Rate of Return (About 3%) , Rate Base is utility company's asset. I believe there is a huge difference between above 2 formulas. Thus, according to the GP article: US cost 2-4 cent/kWH, price 12 cent/kWH Yet, Taiwan cost 6 cent/kWH, price 9 cent/kWH The difference between price and cost would be reasonable profit and expenses including tax/regulation fees, pollution fees, renewable energy research funds, equipment deprecation, interest, salaries, maintenance, etc. In Taiwan, profit plays an insignificant part in electricity price.