Corporate vs. Regulatory Accounting: the case of the contingency tariff at the Distrito Federal water supply service

• Autor(a) principal: Lamounier, Bianca França Rocha
• Data de Publicação: 2022
• Outros Autores: Guerra, Mariana, Fernandes, José Lúcio Tozetti, Matos, Eduardo
• Tipo de documento: Artigo
• Idioma: por; eng
• Título da fonte: Revista Catarinense da Ciência Contábil (Online)
• Texto Completo: https://revista.crcsc.org.br/index.php/CRCSC/article/view/3241
• topic: Contabilidade Societária; Contabilidade Regulatória; Tarifa de Contingência; Corporate Accounting; Regulatory Accounting; Contingency Tariff

With the critical situation of water scarcity that ravaged Distrito Federal  from 2016 to 2017, the local regulatory agency – ADASA – has edited regulations authorizing and disciplining the collection of the contingency tariff for water supply services in the region offered by CESB. However, these regulations generated conflicts of technical and practical guidelines  regarding regulatory and accounting aspects. In this context, the present teaching case proposes the analysis of regulatory and corporate standards on the resources raised with this tariff, and the treatment of these resources in the light of the Accounting Theory and the Accounting Technical statements issued by  CPC. Built from the financial statements of CAESB, together with documents published by the concessionaire and the regulatory agency, it is pointed out that the company complies with the one established by the regulatory agency, but practices additional operations that are not clarified in explanatory notes. The purpose of this case is to discuss the recognition of the contingency tariff as other revenues. Upon considering that the regulations restrict access to and use of the resources derived from this tariff, recognition as a provision would provide preservation of the concessionaire's economic-financial health. In this teaching case, therefore, it is noteworthy that accounting practices regarding the contingency tariff may not be in compliance with the current accounting statements and the accounting theory, thus allowing discussion and application of key accounting concepts for students of undergraduate and graduate courses in the area.