Portugal Power Watchdog Turns Down EDP Tariff Bid

Aug. 11, 2003 -- Portuguese power regulator ERSE said on Friday it had turned down a bid by Electricidade de Portugal (EDP) to pass on 1998-2002 rationalization costs in its tariffs.

ERSE said in a statement that it would not go ahead with extraordinary tariff changes this year or in its "regulatory parameters" for 2002-04.

It said it would allow EDP to pass on personnel rationalization costs for 2003-04 starting in 2005. It said it would accept as investment amortisable in 20 years up to EUR485.7 million in 2003-04 rationalization costs.

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