A History of Energy Deregulation

1
A History of Energy Deregulation
2
Overview
Energy deregulation has provided U.S. electrical
consumers with lower prices, better service and
the chance to demand green energy alternatives.
Deregulation breaks up inefficient energy
monopolies and creates increased competition,
bringing market forces to bear to provide better
alternatives for electrical consumers.
Deregulation has also spurred innovation, as
competing electrical companies work to find
better ways of generating and distributing power
for their clients. The following is a brief
history of energy deregulation and its impact in
seven U.S. states and Washington, D.C.
3
Connecticut
Connecticut started deregulation in the late 90s
when a law restructuring the states utilities
was passed. The new law broke up major utilities
into smaller companies and allowed competing
suppliers into the market. Since deregulation,
electricity generation has increased, consumers
have more choices and exploration of less
environmentally harmful methods of electrical
generation has accelerated. Between 2005 and
2010, carbon dioxide emissions from power plants
decreased 20 percent. Also, nitrogen oxide fell
by 62 percent and sulfur dioxide by 77 percent.
4
Massachusetts
Electricity deregulation began in Massachusetts
in 1998 and has resulted in more choices for
consumers as deregulation dismantled decades-old
monopolies in Massachusetts utilities.
Massachusetts electrical deregulation has given
customers the ability to opt for green energy
plans in which power is generated from clean
sources of energy such as wind or solar. Many
state residents have taken advantage of this
flexibility, opting for earth-friendly power
sources for their homes and businesses.
5
New York
New York began deregulating electricity in the
mid 90s, unbundling natural gas bills and giving
consumers the ability to choose suppliers. The
state is now deregulating electricity in much the
same way, giving residents more options for
choosing their electrical suppliers.
6
New Jersey

• New Jersey lawmakers moved to break up utility
  monopolies in the late 90s with the passage of
  the Electric Discount and Energy Competition Act.
  The bill provided New Jersey energy consumers
  with the right to choose their own electric
  supplier.
• The act has helped New Jersey residents through
• Price reduction. High volume energy users have
  particularly benefited from increased
  competition.
• More choices. Consumers arent stuck with energy
  suppliers whose service they dont like.
• Green energy plans. Increased competition has
  created a market for green energy in New Jersey,
  giving consumers the option of buying energy
  provided by earth-friendly means.

7
Ohio
Ohios legislature deregulated energy in 1999
with the Ohio Electric Choice act. Prior to the
bills passage, Ohioans had only one choice for
their electrical needs. Thanks to Ohio Electric
Choice, they now have a variety of electrical
suppliers. Most of Ohios electricity is provided
by coal or nuclear power plants. Ohio Electric
Choice has helped open the market to renewable
options, and Ohioans are responding to these
options, creating a growing demand for
earth-friendly power.
8
Pennsylvania
Pennsylvania deregulated its energy market in the
mid-90s. The state legislature broke up utility
monopolies with the Electricity Generation and
Customer Choice and Competition Act. The 90s era
laws also set caps on electrical prices, but
allowed Competitive Transaction Charges. This
proved counter-productive, and in the late 00s,
the legislature further deregulated and removed
the caps and the CTCs. Pennsylvanias
deregulation has increased the number of
companies competing to supply residents with
power and helped bring more earth-friendly
options to the market. Deregulation has given
Pennsylvanians the chance to choose a provider
that delivers the best service, lowest rates, and
power generation method of their choice.
9
Texas
The Lone Star State deregulated its energy market
in 2002. The deregulation of the Texas energy
market, one of the nations largest, has had the
following results. While energy costs have risen,
a good portion of those costs have been borne by
power companies rather than customers. Wind
energy has increased in Texas. The state recently
passed California as the nations No. 1 wind
energy producer. More electrical suppliers are
working in Texas, providing consumers with a
greater range of choices.
10
Washington, D.C.
The nations capital gave its residents the
ability to choose their own energy suppliers in
1999. Deregulation has brought new power
suppliers to the district and given consumers
more choices. Competition has also provided
Washington, D.C. residents the opportunity to
shop around for lower prices and to choose
earth-friendly electrical suppliers.
11
About Shop My Power
Shop My Power provides energy consumers in eight
states with the opportunity to conveniently
compare prices among utilities and find out which
one is best for them. Energy deregulation in
these states makes Shop My Powers cost-saving
service available to serve the public. For more
information visit http//www.shopmypower.com.