7. Productivity

D.98-04-059 directed customers to demonstrate productivity by assigning a reasonable dollar value to the benefits of their participation to ratepayers. (D.98-04-059 at 34-35.) The costs of a customer's participation should bear a reasonable relationship to the benefits realized through its participation. This showing assists us in determining the overall reasonableness of the request.

Reid indicates that he contributed to the proceeding in a manner that was productive and will result in benefits to ratepayers that exceed the costs of participation. Reid states that if the Commission would grant all of the authority sought in the application, and it had resulted in an increase of just $1/megawatt hour (MWH) for an electricity plant that produced 40,000 MW of electricity annually, ratepayers would have to pay an additional $40,000 annually or over twice the compensation Reid requests in this proceeding.

We also note that a conclusion of the proceeding without a full-blown litigation saves litigation costs. Reid's participation, from this angle, was productive, regardless of whether or not he contributed to the actual procedural closure, since Reid reached a settlement with the applicants.