Definition of Indirect utility cost

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TeachMeFinance.com - explain Indirect utility cost



Indirect utility cost

The term 'Indirect utility cost' as it applies to the area of energy can be defined as ' A utility cost that may not be meaning fully identified with any particular DSM program category. Indirect costs could be attributable to one of several accounting cost categories (i.e., Administrative, Marketing, Monitoringevaluation, Utility-Earned Incentives, Other). Accounting costs that are known DSM program costs should not be reported under Indirect Utility Cost; those costs should be reported as Direct Utility Costsunder the appropriate DSM program category'.

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Mark McCracken

Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English".


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