10-K - SCANA Corporation

Table of Contents
Risk Management
SCANA and SCE&G have established policies and procedures and risk limits to control the level of market, credit, liquidity
and operational and administrative risks assumed by them. SCANA’s Board of Directors has delegated to a Risk Management
Committee the authority to set risk limits, establish policies and procedures for risk management and measurement, and to oversee and
review the risk management process and infrastructure for SCANA and each of its subsidiaries. The Risk Management Committee,
which is comprised of certain officers, including a Risk Management Officer and several senior officers, apprises the Board of
Directors with regard to the management of risk and brings to the Board’s attention any areas of concern. Written policies define the
physical and financial transactions that are approved, as well as the authorization requirements and limits for transactions.
REGULATION
SCANA is subject to the jurisdiction of the SEC as to the issuance of certain securities and other matters and is subject to the
jurisdiction of the FERC as to certain acquisitions and other matters.
SCE&G is subject to the jurisdiction of the SEC as to the issuance of certain securities and other matters; the SCPSC as to
retail electric and gas rates, service, accounting, issuance of securities (other than short-term borrowings) and other matters; and FERC
as to issuance of short-term borrowings, certain acquisitions and other matters.
GENCO is subject to the jurisdiction of the SCPSC as to issuance of securities (other than short-term borrowings) and is
subject to the jurisdiction of FERC as to issuance of short-term borrowings, accounting, certain acquisitions and other matters.
PSNC Energy is subject to the jurisdiction of the NCUC as to gas rates, service, issuance of securities (other than notes with a
maturity of two years or less or renewals of notes with a maturity of six years or less), accounting and other matters.
CGT is subject to the jurisdiction of FERC as to transportation rates, service, accounting and other matters.
SCANA Energy is regulated by the GPSC through its certification as a natural gas marketer in Georgia and specifically is
subject to the jurisdiction of the GPSC as to retail prices for customers served under the regulated provider contract.
SCE&G and GENCO are subject to regulation under the Federal Power Act, administered by FERC and DOE, in the
transmission of electric energy in interstate commerce and in the sale of electric energy at wholesale for resale, as well as with respect
to licensed hydroelectric projects and certain other matters, including accounting. See the Regulatory Matters section of
Management’s Discussion and Analysis of Financial Condition and Results of Operations for SCANA and SCE&G.
SCE&G and GENCO have obtained FERC authority to issue short-term indebtedness (pursuant to Section 204 of the Federal
Power Act). SCE&G may issue up to $1.2 billion of unsecured promissory notes or commercial paper with maturity dates of one year
or less, and GENCO may issue up to $150 million of such short-term indebtedness. The authority to make such issuances will expire
in October 2012.
The RSA allows natural gas distribution companies to request annual adjustments to rates to reflect changes in revenues and
expenses and changes in investment. Such annual adjustments are subject to certain qualifying criteria and review by the
SCPSC.SCE&G is presently operating the Saluda project under an annual license (scheduled to expire in August) while its long-term
re-licensing application is being reviewed by FERC.
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