69-3-712. Commission to include conservation in rate base -- rate of return. (1) In order to encourage the purchase of or investment in conservation by a utility, the commission shall include conservation purchases or investments eligible under 69-3-702 and in compliance with criteria adopted under 69-3-711 in a utility's rate base.

(2) In establishing such rate of return the commission may allow an increment of up to 2% added to the rate of return on common equity permitted on the utility's other investments.

(3) The commission shall allow the rate of return increment provided for in subsection (2) for a period not to exceed 30 years after the conservation is first placed in the rate base.

(4) The commission shall prescribe amortization periods for conservation that is included in a utility's rate base.