Taking Energy Deregulation National A growing number of states are deregulating their energy markets to increase competition, giving consumers more choices concerning energy prices and the type of energy they’d like to use. The end result will be lower energy prices and greater advancement in green energy. The time has come to take this movement national and call for federal legislation deregulating energy markets. The federal government passed legislation in the early 90s enabling states to deregulate their electricity and natural gas energy markets. Energy markets were regulated in the New Deal era to break up nationwide monopolies, but resulted in creating regional and state utility monopolies. As of April 2014, 16 U.S. states have deregulated their electricity markets, while about seven have made attempts at deregulation. One of the big arguments in favor of deregulating energy is that increased competition among energy providers will lower energy prices for consumers. States that have deregulated energy have had mixed results. Pennsylvania has had great success with energy deregulation from a consumer standpoint, with many consumers saving on energy costs. California’s deregulation plan has had less than stellar results, with energy bills spiking in some parts of the state. How energy is deregulated – that is the specific legislation deregulating the market and its stipulations – appears to have a huge impact on how successful deregulation is in lowering energy prices. Energy deregulation has been successful in giving consumers a choice in what type of energy they use. By giving energy consumers the option of shopping around for their power, rather than having to take whatever the local utility monopoly provides, consumers can choose to purchase energy from companies that obtain power from ecofriendly sources, such as solar or wind-generated electricity. By giving consumers the option to vote with their pocketbooks, public support of green energy can help wind, solar and other renewable energy industries grow. A more aggressive, national program of energy deregulation could greatly increase the benefits offered by deregulation. By opening up competition nationwide, instead of state by state, market pressures could help drive down energy prices for consumers. Also, a nationwide deregulation plan that allows consumers to pick their energy suppliers could help drive more dollars to green energy sources, helping to foster further developments in green energy. Getting the right legislation to enable deregulation is important, as poor legislation that does not effectively deregulate an energy market can be counterproductive to the goals of deregulation – lower energy prices and greater support for green energy. Summary: Energy deregulation is lowering prices and helping to advance greater investment in green energy in several U.S. states. Nationwide deregulation could help bring greater energy savings and renewable energy investment to the U.S.
Bio: Shop My Power (http://www.shopmypower.com/) provides independent analysis of energy rates in states that give consumers the opportunity to shop around for electricity providers. This information allows consumers to pick the electricity provider that’s right for their budget and needs.