Utility Company Depreciation?

[Accounts Playable]

Hello All,

I just started working on a New York based utility company, and have been given the task of researching their deprecation methods. This is the first utility company I have worked on, and they mentioned that they are allowed to depreciate their assets in excess of the asset’s basis. I pulled up New York’s PSC rules report, and did some other research into this, but I cannot seem to find anything to support this claim. Has anyone heard of this before or have a source they can steer me to in order to confirm this is allowed? It may only be related to the annual reports that they file with NYPSC.

Thank you!

 

[kirby]

http://www.psc.state.ut.us/utilitie...e Coopers - Depreciation Issue 10-13-2015.pdf

Apparently that happens (!) . Check out the above link and look up the major acctg firm's write-ups on utility accounting.