Senior personnel

Mark Newton Lowry

Mark Newton Lowry is the President of PEG Research. He has thirty years of experience as an industry economist. His principal areas of expertise are performance-based utility regulation ("PBR"), other forms of alternative regulation ("Altreg"), and statistical research on utility cost and reliability performance. Regarded internationally as an authority on modern regulation, he supervises empirical work on utility performance and industry price and productivity trends, designs Altreg plans, and gives expert witness testimony. A recent focus of his work is the role that PBR and other forms of Altreg can play in regulating the electric "utility of the future". His practice is international in scope and has included dozens of projects in Canada, where PBR is used today in most populous provinces.

Dr. Lowry has for many years advised the Edison Electric Institute on Altreg issues and teaches the Altreg segment at EEI's Advanced Rates Course. He has also served as an advisor to the Canadian Electricity Association. He has advised regulatory commissions in Australia, Canada, and several Latin American countries. He has testified dozens of times on Altreg and benchmarking issues. His testimony has featured path-breaking applications of production economics in the regulatory arena. Other areas of expertise include natural gas storage, agricultural and mineral economics, and codes of competitive utility conduct.

Dr. Lowry was previously a Vice President at Christensen Associates. He provided almost all of Christensen Associates' testimony on energy utility Altreg and benchmarking during his nine years there. Dr. Lowry has also served as an Assistant Professor in the Department of Mineral Economics at Pennsylvania State University and as a Visiting Professor at l'Ecole des Hautes Etudes Commerciales in Montreal. His research and teaching featured the use of mathematical theory and econometrics in industry analysis.

Mark attended Princeton University and holds a BA in Ibero-American Studies and a Ph.D. in Applied Economics from the University of Wisconsin. He can assist clients in French and Spanish as well as his native English. He has authored numerous professional publications and chaired numerous conferences on Altreg and benchmarking.

Contact Dr. Lowry by e-mail:
Remedies for Regulatory Lag
Forward Test Year Report
Revenue Decoupling for Commonwealth Edison
Benchmarking the Costs of Ontario Power Distributors
Econometric Benchmarking of Cost Performance: The Case of U.S. Power Distributors

Lawrence R. Kaufmann

Lawrence R. Kaufmann is a Senior Advisor to Pacific Economics Group Research. He develops and undertakes supporting empirical research on performance based regulation (PBR) and competitive market reforms for energy utilities. He has worked with many leading utilities in North America on these issues and has spearheaded our overseas practice. Dr. Kaufmann has been particularly active in Australia, where he has advised energy utilities in five of the six Australian states on a variety of topics. His specialties include PBR plan design, statistical benchmarking, estimating total factor productivity, and incentive regulation theory. He is also a specialist and expert witness on service quality issues. Dr. Kaufmann is an author of over a dozen publications. He holds a Ph.D. in Economics from the University of Wisconsin. Before joining PEG, he was a Senior Economist at Christensen Associates. He has also worked as an international economist for a large commercial bank.

Contact Dr. Kaufmann by e-mail:

Dave Hovde

Dave is a Vice President at Pacific Economics Group Research LLC. He has more than twenty years of experience in the study of energy utility cost and productivity issues. He has also taught courses at Carroll University and Madison Area Technical College. Before joining PEG, he worked as a Senior Economist at Christensen Associates. He holds a BA in Economics, International Relations, and Political Science, and an MS in Economics from the University of Wisconsin, Madison.

Contact Mr. Hovde by e-mail:


Lori Smith Schell

Lori Smith Schell is a Senior Advisor to PEG Research. She is a Certified Energy Risk Professional ("ERP") with over 25 years of experience in the energy industry, including policy analysis work at the U.S. Department of Energy and Los Alamos National Laboratory. Lori is the 2015/16 Vice President-Communications of the International Association for Energy Economics ("IAEE") and is Past President and Senior Fellow of the United States Association for Energy Economics ("USAEE"). Lori also serves on the Board of Directors of Pagosa Verde LLC, a community-based geothermal development company.

Quantifying the costs and benefits of emerging technologies, including all types of solar technologies and fuel cells, individually and as components of larger portfolios of equipment, is a specialty. Dr. Schell has also provided economic analysis of hydrogen filling stations in California. Her current focus is on "power-to-grid" economics, the use of excess renewable generation to produce hydrogen for injection into natural gas pipelines.

Dr. Schell works closely with the Advanced Power and Energy Program at the University of California-Irvine to provide MATLAB-based economic analysis in support to APEP's technical modeling. Analyses include calculating the levelized cost of energy for multiple generating technologies based on scenario-specific technical output.

Dr. Schell was previously the Director of Energy Risk Management for Trigen Energy Corporation, a combined heat and power company focused on maximizing the efficiency of distributed generation. She represented Trigen on the Board of Directors of the Independent Power Producers of New York, Inc. She earlier served as the Manager of Regulatory Affairs & Energy Market Analysis for Air Products and Chemicals, Inc., and as Project Manager at the boutique natural gas consulting firm of Benjamin Schlesinger and Associates, Inc.

Lori holds a Ph.D. in Mineral Economics and Operations Research from the Pennsylvania State University and a B.A. in Economics (Honors) from the University of Washington. Lori and her husband live in Durango, Colorado where they raised their three daughters.

Contact Dr. Schell by e-mail:

Scott Brockett

Scott Brockett is a Senior Advisor to PEG Research. He is an experienced energy economist with extensive background in energy policy and economic regulation of electric, gas, and thermal utilities. He has worked in both the public and private sectors.

Scott most recently held various positions in 14 years in the Regulatory Department of Public Service Company of Colorado. He testified on policy and technical issues in diverse matters that included gas and electric pricing, distributed generation, multiyear rate plans, forward test years, net metering, qualifying facility buyback rates, service quality, interruptible electric rates, distributed generation, revenue decoupling, demand side management ("DSM") incentives, and cost recovery issues involving the implementation of the Clean Air - Clean Jobs Act, cost trackers for gas safety capex, and the acquisition of various generating units.

Prior to that Scott was employed by Consumers Energy, an investor-owned utility providing natural-gas and electric service in Michigan, as Supervisor of Pricing and Revenue Forecasting. His primary responsibilities were developing rates for electric and natural gas services, conducting economic analyses of various service options, evaluating the impact of Michigan's electric open-access program, estimating customer bills, and forecasting natural gas and electric revenue. He also managed their voluntary Green Power Pilot Program.

Scott's public sector experience was with the Minnesota Department of Public Service, a state agency charged with developing energy policy and representing all customers in utility matters before the Minnesota Public Utilities Commission. As an analyst, expert witness, and manager there he addressed diverse issues including DSM, rate design, integrated resource plans, the marginal cost of service, and environmental costs of electric generation. He rose to the position of Manager of Energy Planning and Advocacy.

Scott holds an MA from Miami University in Ohio and a BA in English and Economics from Otterbein College. An Ohio native, he now lives in the Denver, Colorado area.

Contact Mr. Brockett by e-mail:

Blaine Gilles

Blaine Gilles is a Senior Advisor at PEG Research. His career has spanned more than two decades in which he has been a business leader, government regulator, and economic researcher focused on the issues of network-based businesses. Issues that arise with the development of competition in regulated industries are a specialty. He is also an expert in formulating strategies to deal with challenges posed by developing and pricing capital-intensive services and effectively managing profitability amid challenging and rapidly changing regulatory and market conditions. Blaine has served as an expert witness in a variety of regulatory and legal proceedings.

Dr. Gilles played a significant role in the transformation of the U.S. telecommunications industry from regulated monopoly to competition. Between 1999 and 2006, he led the voice services business of WilTel Communications, previously a subsidiary of the Williams Companies, to achieve annual revenues of over $1.3 billion. He held a variety of positions in the regulatory department of Ameritech in metropolitan Chicago. He has also led product management, marketing and sales, and business and technical operations, at Level 3 Communications, NewCross Technologies, and WorldCom. Blaine earlier served as an economist for the Policy Analysis and Research Division of the Illinois Commerce Commission and was an Assistant Professor of Economics at Kalamazoo College.

Prior to joining PEG Research, Dr. Gilles operated a private consultancy where he supported a variety of network-based firms and private equity companies, as well as the U.S. Securities & Exchange Commission and the U.S. Department of Justice. He has been a key advisor to clients on mergers and acquisitions, competitive strategy, and pricing. At PEG Research, Blaine will participate in the Company's energy utility consulting as well as opening a practice in the field of telecommunications.

Dr. Gilles received his PhD and MA in Economics from Michigan State University where he studied regulatory economics with Harry Trebing of Michigan State's Public Utilities Institute. He also earned a BS in Economics and a BA in International Relations from the University of Minnesota.

Contact Dr. Gilles by email:

Jeffrey A. Dubin

Jeffrey Dubin is an expert on damages in intellectual property, antitrust, mergers, and other matters involving econometric, statistical, sampling, and survey analysis. He has extensive experience providing testimony before courts and regulatory bodies, including U.S. district courts, the U.S. Tax Court, the U.S. Surface Transportation Board, state utilities and transportation commissions, and state superior courts. Professor Dubin has testified at trial and depositions.

His research focuses on microeconomic modeling. Professor Dubin's current work concerns energy economics, sampling and survey methods, the valuation of intangible assets, and tax compliance.

He has written five books and has authored many articles on econometric and statistical analysis on a variety of topics, including consumer choice, energy markets, and tax avoidance. Professor Dubin has received the Econometric Society's prestigious Frisch Medal for coauthoring the best applied paper published in the previous two years in the journal Econometrica.

He has taught courses on applied economics, antitrust, and competition. Prior to becoming an adjunct professor at USC and UCLA, he was a professor of economics at the California Institute of Technology for twenty-five years. He is also the cofounder and a partner of the Pacific Economics Group.

Dr. Dubin is an Adjunct Professor of Economics and Statistics, Dornsife College of Letters, Arts and Sciences at the University of Southern California. He received his Ph.D. from the Massachusetts Institute of Technology and A.B. (highest honors) from the University of California, Berkeley. His practices include Antitrust and Competition, Consumer Fraud and Product Liability, Energy and Commodities, Intellectual Property, and Pharmaceuticals and Healthcare.

Contact Dr. Dubin by email:
Curriculum Vitae (.html)

John Kalfayan

John is a Senior Advisor of PEG Research. Since 2002, John has provided econometric modeling support for PEG in the areas of Alternative Regulation and Benchmarking. An industry economist for more than fifteen years, John has developed mathematical models for a wide range of projects, creating evaluation tools for risk management in electricity and gas markets, and for pricing electricity to retail markets under volatile supply conditions and demand uncertainty. He has also been involved in the design of utility pricing mechanisms including Real Time Pricing since the early 1990s. Kalfayan has developed software that has been widely used in the evaluation of a range of market-based energy products, including interruptible services. John was previously in senior management at the World Council of Credit Unions, a Senior Economist at Christensen Associates, and a professor of graduate and undergraduate courses in economics and business. He has French and German language capabilities and degrees in economics from Carleton College and the University of Wisconsin. His publications include work in econometrics and development economics.

Contact Dr. Kalfayan by e-mail:

Zachary Legge

Zack is an Economist II at PEG Research. His past research experience includes cost performance studies of energy utilities using stochastic frontier and data envelopment analysis. He also has a background in applied econometrics, programming, and energy demand analysis. Zack holds an M.A. in applied economics from the University of Wisconsin-Madison, where he also earned a B.A. in mathematics, economics, and classical humanities.

Contact Mr. Legge by e-mail:

Matt Makos

Matt is a Consultant at PEG Research. He plays a leading role in the gathering, appraisal, and documentation of Altreg precedents and maintains the company's Altreg library. A native of Darlington, WI, Matt holds a Bachelor's degree in Business Administration from the University of Wisconsin.

Contact Mr. Makos by e-mail:

Gretchen Waschbusch

Gretchen is the Madison office manager for PEG Research and is also active in our empirical research. A native of West Bend, WI, she holds an undergraduate degree in Business Administration from UW and an MBA from Edgewood College here in Madison. Prior to joining PEG Research, Gretchen was a branch manager for a major Midwestern bank.

Contact Ms. Waschbusch by e-mail: