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Topic: Two part tariff

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	Two-part tariff - Definition, explanation
		A two-part tariff is a pricing technique in which the price of a product or service is composed of two parts.
		Economists view two part tarifs as a means to the end of price discrimination in partially or fully monopolistic markets.
		In short, the way two-part tariff's work is the producer charges the consumer surplus as an entrance fee or cover charge, and then just charges the marginal cost for each unit of the good.
	www.calsky.com /lexikon/en/txt/t/tw/two_part_tariff.php (559 words)

	TWO-PART WATER TARIFF GTC RESIDENTS
		The implementation of the two-part tariff will change the method consumers are charged for water and introduce to ratepayers the opportunity to take greater control over the size of their bills.
		Introduction of a Two-Part Tariff for water charging requires careful consideration of various options for the tariff structure with due regard to several key parameters.
		Two part tariffs can be very complex which could lead to customer confusion and opposition to change.
	www.goondiwindi.qld.gov.au /news/2006/WaterTariffBrochure.shtml (824 words)

	Nepra introduces two-part tariff for power consumers -DAWN - National; 11 August, 2004
		The industrial sector is already being billed under the two- part tariff system, in which an industrial unit has to pay for a certain capacity.
		The revenue accruing in case of consumers billed on a two- part tariff is affected by the load factor of the power consumption in that category and is therefore estimated on the basis of average per kwh revenue accruing from that class of consumers during the previous year on actual basis.
		Nepra said a radical revision of the existing tariff pattern without carrying out a detailed study may not be fair to the consumers consuming less units per month.
	www.dawn.com /2004/08/11/nat19.htm (660 words)

	Two part tariff (Site not responding. Last check: 2007-11-06)
		A two-part tariff is a pricing technique in which the price of a product or service is composed of two parts.
		Economists view two part tariffs as a means to the end of price discrimination in partially or fully monopolistic markets.
		In short, the way two-part tariff's work is the producer charges the consumer surplus as an entrance fee or cover charge, and then just charges the marginal cost for each unit of the good.
	shopping.abcworld.net /Two_part_tariff.html (463 words)

	Niles and the New South
		Although the first reaction to the tariff of 1816 was muted, tariff proposals of the 1820s and '30s elicited wild outrage.In outline, the argument ran something like this: Many Southerners believed nothing could be manufactured in the plantation system, and they feared a diversion of capital to Northern factories.
		He waited two months to write an editorial in which he noted that some of the rates may have been too high, and that perhaps a gradual approach would be wiser next time.
		He supported the sugar tariff -- not as a way to protect planters, but rather "as a means of advancing the prosperity of the United States." 58One only has to open a copy of the Register to find examples of Niles conciliatory and moderate tone on the tariff question in the 1820 - 1828 period.
	www.radford.edu /~wkovarik/papers/niles.html (7974 words)

	AP TRANSCO :: Transmission Corporation of Andhra Pradesh
		They have also proposed an optional two-part tariff with Rs.100/- per KVA as demand charges and 403 ps/unit as energy charges.The commission dispensing with the earlier practice have introduced two-part tariff with Rs.100/- per KVA as demand charges and 385 ps/unit as energy charges as against 403 ps/unit proposed by the DISCOMS.
		The billing demand for the two- port tariff shall be the recorded demand or the contracted demand whichever is higher.
		While retaining the propsed tariff on a flat rate, the Commision has preferred to continue the optional metered tariff of 20 ps/ unit for the first 2500 units per annum and 50 ps / unit for the remaining units of consumption.
	www.aptranscorp.com /tariff0203.html (457 words)

	TWO-PART WATER TARIFF GTC RESIDENTS (Site not responding. Last check: 2007-11-06)
		The implementation of the two-part tariff will change the method consumers are charged for water and introduce to ratepayers the opportunity to take greater control over the size of their bills.
		Hence a major benefit of two part tariff is to reduce cross subsidies between groups of consumers by ensuring that users pay for water consumed, rather than a fixed allocation that may not reflect their demand.
		Two part tariffs can be very complex which could lead to customer confusion and opposition to change.
	www.waggamba.qld.gov.au /news/2006/WaterTariffBrochure.shtml (824 words)

	Metering International - The only international publication covering all aspects of utility metering
		Thus the purpose of implementing a two-part tariff was defeated, and the result was a poor power factor and a financial penalty for many consumers.
		Tariffs were rescheduled into C1 category for kWh based units and C2 category for power factor based units.
		One of the unplanned-for benefits of moving to the new tariff system, however, was a noticeable reduction in theft of energy.
	www.metering.com /archive/984/18_1.htm (1024 words)

	WAPDA Tariff
		It is a pathetic sight when two to three federal ministers along with a score of their civil servant subordinates sit like students in a class and fawn upon the representatives of the Bretton Wood agencies and try their hardest to appear in compliance with their ‘conditional ties’.
		The present tariff structure of power is quite complicated with quite a large number of slabs, sub-slabs etc. The complication is pronounced in residential and bulk consumer.
		Therefore the whole edifice of irrational tariff has been built, all in the name of subsidizing the domestic consumers, who on the one hand are not so deserving of the subsidy and affect the whole spectrum of tariff on the other.
	www.islamabad.net /shahid/wapda.htm (2770 words)

	Two-part tariff - Encyclopedia.WorldSearch (Site not responding. Last check: 2007-11-06)
		Non-tariff trade barriers as a problem in international development;: A study in two parts,
		Electric gridlock: a national solution: FERC should consider a two-part tariff to boost transmission investment.(Federal Energy Regulatory Commission)...
		The two part tariff, practically speaking (Working paper / Graduate School of Public Policy, University of California, Berkeley)
	encyclopedia.worldsearch.com /two_part_tariff.htm (621 words)

	[No title] (Site not responding. Last check: 2007-11-06)
		You have constant marginal costs of $4 and while you know that only these two types of consumers come to your store, you cannot distinguish which ones are which at the time of purchase.
		They can either pay the two-part tariff in b) or they can pay a $4.50 monthly fee and rent as many videos as they want for $4.
		Name and explain two significant criticisms of the models used by Berry or Verboven.
	darkwing.uoregon.edu /~bruceb/iomid607.htm (507 words)

	Water charging in irrigated agriculture
		In practice, volumetric methods of supply to individual farmers are probably not feasible in large parts of the developing world at present because of the costs and complexity of installing large numbers of measuring devices, and the vulnerability of available devices to accidental and malicious damage.
		Experience cannot be directly transferred between the two water sectors, nonetheless, Boland and Whittington question the value of RBTs on a number of counts and urge the greater use of simpler, two-part tariff structures - a fixed, service charge and a variable charge determined by the volume consumed.
		Volumetric methods may not be feasible in large parts of the developing world because of the costs and complexity of installing large numbers of measuring devices on the supply to small farmers, and the vulnerability of available devices to accidental and malicious damage.
	www.fao.org /docrep/008/y5690e/y5690e06.htm (3732 words)

	Tatenergo \| Tariffs in Tatarstan Republic
		Tariffs for electricity supplied to population, are the same on the territory on entire Republic of Tatarstan, regardless of the ownership and departmental belonging of the houses in which they live.
		Tariffs for electricity, supplied by the guarantee supplier JSC "Tatenergo" in the limits of zone of its activity to consumers in Republic of Tatarstan for 2007 (Appendix 1)
		Tariffs for heat sold to consumers (in the form of steam and hot water) have been established on basis of the full return of the condensate (condensation water) by consumers.
	www.tatenergo.com /tariffs.jsp (1457 words)

	[No title]
		And two, there remains the misconception among policy makers that somehow final goods must be protected at tariff rates higher than those applied to raw materials and intermediate inputs.
		The process has been somewhat arrested recently, however, with tariff reductions limited largely to products subject to the “peak” tariff rate, which happen to be final goods, and some of the lower tariff rates applying to intermediate inputs raised as a part of the rationalisation process.
		I will argue that rather than move to the two-part tariff with the plethora of exceptions still continuing to apply, we must switch to a single uniform tariff rate of 15% except in the handful of the cases where it might be contrary to our WTO obligations.
	www.columbia.edu /~ap2231/ET/et54-June18-03.htm (945 words)

	TARIFF STRUCTURE (Site not responding. Last check: 2007-11-06)
		It is notified for the information of general public that the New Delhi Municipal Council, in exercise of powers under section 200 of the NDMC Act.
		Minimum charges are to be levied on per KW or part thereof sanctioned/connected/ declared/ connected load, whichever is higher.
		The above tariff is based on the supply being given through a single delivery and metering point at single voltage.
	www.ndmc.gov.in /Teriff.htm (313 words)

	[No title]
		A tariff binding in a Member's Schedule provides an upper limit on the amount of duty that may be imposed, and a Member is permitted to impose a duty that is less than that provided for in its Schedule.
		Once a tariff concession is agreed and bound in a Member's Schedule, a reduction in its value by the imposition of duties in excess of the bound tariff rate would upset the balance of concessions among Members.
		Article 11 of the DSU states in part: The function of panels is to assist the DSB in discharging its responsibilities under this Understanding and the covered agreements.
	www.worldtradelaw.net /reports/wtoab/argentina-textiles(ab).doc (9270 words)

	User talk:Jrincayc - Wikipedia, the free encyclopedia
		My understanding of a two part tariff is when you have 2 components to the price of a product or service.
		It is not clear what the two part tariff has to do with either Porter generic strategies or Porter 5 forces analysis.
		For what its worth, at the University I went to, economics was part of the Agriculture College (you can probably guess that they had a strong agricultural economics program from that fact).
	en.wikipedia.org /wiki/User_talk:Jrincayc (2855 words)

	Printer Friendly Version (Site not responding. Last check: 2007-11-06)
		The consumption in June would be charged as per the old tariff, and in July it would be charged as per the revised tariff.
		REL, which has released a circular detailing MERC’s tariff order for consumers benefit, said that consumers having high consumption would pay higher tariff only for the units in the higher slab and would be charged a lower tariff for consumption in the lower slabs.
		As per the new tariff structure, fuel adjustment charge (FAC) has been merged with basic tariff and is applicable to all consumers.
	www.financialexpress.com /print.php?content_id=63942 (266 words)

	THE GREAT CONSPIRACY, Part. 1. By John Logan
		The contention on their part was not for a mere "incidental protection" —much less a "Tariff for revenue only"—but for "Protection" in its broadest sense, and especially the protection of their cotton manufactures.
		It was the passage of the Tariff of 1824 that gave these crafty Free Traders their first great success in spreading their doctrine of Free Trade by coupling it with questions of slave labor, States Rights, and nullification, as laid down in the Kentucky and Virginia resolutions.
		The Tariff Act of 1832, essentially modifying that of 1828, was passed with a view, in part, to quiet Southern clamor.
	www.gutenberg.net /7/1/3/7133/7133-h/7133-h.htm (10331 words)

	Buchanan and Thirlby, L.S.E. Essays on Cost, Wiseman, The theory of public utility price: Library of Economics and ...
		Between these two extremes there is a range of possible marginal-cost rules, differing from each other in the planning time period chosen as appropriate and hence in the 'durable' assets they ignore and in the opportunity costs they treat as relevant to decisions about price and output.
		The two issues cannot be separated, and policies desirable in terms of the welfare criteria may therefore reasonably be rejected because a government chooses to obtain a preferred distribution of income even at the cost of some diminution of its total size.
		The two- (or more) part tariff is intended to avoid the anomalies of marginal-cost pricing, in that it is designed to meet the marginal 'welfare' conditions and also to avoid problems of interpersonal comparison by raising revenues large enough to cover all outlays.
	www.econlib.org /library/NPDBooks/Thirlby/bcthLS10.html (5672 words)

	WTO \| Understanding the WTO - The GATT years: from Havana to Marrakesh
		The tariff reductions, phased in over a period of eight years, involved an element of “harmonization” — the higher the tariff, the larger the cut, proportionally.
		GATT’s success in reducing tariffs to such a low level, combined with a series of economic recessions in the 1970s and early 1980s, drove governments to devise other forms of protection for sectors facing increased foreign competition.
		This was followed by two years of failure to reach agreement in the single-sector talks on maritime transport.
	www.wto.org /english/thewto_e/whatis_e/tif_e/fact4_e.htm (1903 words)

	ERS/USDA Briefing Room - WTO: Glossaries
		Bound tariff rates: Tariff rates resulting from the General Agreement on Tariffs and Trade (GATT) negotiations or accessions that are incorporated as part of a country's schedule of concessions.
		Lower tariffs, such as those granted under a customs union or free trade agreement are negotiated under a special exemption to the MFN principle (General Agreement on Tariffs and Trade Article XXIV).
		Over-quota tariff: The tariff applied on imports in excess of the quota volume.
	www.ers.usda.gov /Briefing/WTO/Glossaries.htm (1736 words)

	Two-Part Tariff Example
		Let’s assume that the bookstore owner hears about two-part tariffs and would like to implement this pricing strategy.
		Students are asked to pay a cover charge, just to enter the store, and may then buy all the textbooks they want at some pre-determined price.
		The bookstore knows that the two-part tariff pricing approach allows them to recover any lost profits (from lower prices) by raising the cover charge, so the firm will adjust the cover charge and textbook price to a point where profits are as high as possible.
	www.louisville.edu /~bmhawo01/econpage/201/handouts/pricing/twoparttariff.html (455 words)

	Yankee Gas Rate Decision
		Under the program, the company forgives part of the customer’s arrearage if he enters into a payment program to pay of the rest of his arrearage and sticks to it.
		As part of this mandate, DPUC ordered the companies to separate their rates for their firm (non-interruptible sales) customers into two components as part of their upcoming rate cases.
		In the first part, decided in January 2002, DPUC determined the total amount of revenue the company needed to serve its customers.
	www.cga.ct.gov /2004/rpt/2004-R-0010.htm (964 words)

	Little Sisters Book and Art Emporium v. Canada (Minister of Justice), 2000 SCC 69 (CanLII)
		She had two shipments from Inland [a book distributor] interrupted at the border and has never received two of the books in the shipment, nor any documents from Customs in relation to them.
		In my view, the appellants' attack on the legislation is correct only in part, that is to say in relation to the application of the reverse onus provision, but as to that part the appeal must be allowed.
		The courts are concerned with the legality of the decisions, not the quality of the guidebooks, although of course the fate of the two are not unrelated.
	www.canlii.org /ca/cas/scc/2000/2000scc69.html (16037 words)

	John Quiggin - Submissions - HilmerTCC.html
		Unfortunately, many advocates of two-part tariffs, notably including the Industry Commission have assumed that the access component of a two-part tariff must be equal for all users, or at least for all households and have therefore recommended the removal of fixed charges based on property values.
		An important practical implication of the two-part tariff approach is that usage charges should vary according to the amount of spare capacity in the system.
		This position is supported in part by general claims about the proved superiority of private sector business methods and in part by economic analysis such as that of the Industry Commission (1989, 1995a) which suggested that an extensive program of microeconomic reform could raise GDP by as much as 5.5 per cent.
	www.uq.edu.au /economics/johnquiggin/Submissions/HilmerTCC.html (6784 words)

	Markets, Part two
		However, with a tariff, some of what consumers lose is collected by the government in the form of taxes.
		Economists tend to prefer the tariff approach, which means that they tend to support legalization of drugs.
		That is because tariffs and quotas interfere with the potential gains from trade that come from comparative advantage.
	www.arnoldkling.com /econ/markets/mktchapter2.html (4967 words)

	[No title]
		During the development of the RTP tariff, the issues of net costs for its operation and identifiable costs versus likely, but unaccounted for benefits were raised in comments.
		For these programmatic efforts, outside of tariff rates, the CPUC and DWR appear to believe that specifically including them in the Rate Agreement and estimating their costs in DWR’s computation of revenue requirements is the appropriate approach.
		Inclusion of RTP as an enumerated program, or a determination that it is a tariff and therefore is automatically “funded” is required separate and apart from the issue of the CEC’s specific RTP tariff proposal of July 26, 2001.
	www.energy.ca.gov /papers/2001-07-31_COMMENTS_RTP_COS.DOC (1269 words)

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