
Power for Tomorrow is the nation’s leading resource for research, commentary, and information regarding how the regulated electric utility model protects consumers and supports environmental and public policy goals.
Our advocacy focuses on ensuring that the public, government officials, the media and other interested parties understand that sensible oversight of utilities is the best regulatory framework to ensure consumers have access to affordable, reliable, and increasingly clean energy.
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The millions of Americans who are struggling with under the weight of higher electric bills deserve real relief, not false promises. Weatherizing homes, investing in efficiency, and strengthening the grid can ease some of the costs. But deregulation is a proven failure because it doesn’t lower bills – it raises them. Lawmakers should reject this policy and focus instead on solutions that actually protect customers, not exploit them.
National groups are sniffing around with a risky idea called electric deregulation. It’s being sold as “choice,” but don’t be fooled. Deregulation won’t lower your power bill. It’ll raise it.
In a recent RTO Insider column, Brad Viator and Alison Williams examine the root causes of PJM’s failures and propose solutions to address its systemic shortcomings.
Power for Tomorrow expert Ed Hirs, an energy economics professor and UH Energy Fellow at the University of Houston, explains that—despite the rhetoric from deregulation advocates—it’s the traditionally regulated states like Virginia and Georgia that are successfully generating enough electricity to attract and support new data centers.
A recent poll of Louisiana voters, conducted by Peak Insights, reveals a striking trend: while many initially support electricity deregulation, that support collapses once they learn what it actually means.
Within the traditional utility regulatory model, utilities receive a franchise to provide electricity to an entire geographic area, planning for reliable power and relatively predictable prices for consumers.
Two decades ago, a wave of utility restructuring swept parts of the country. With it came different “flavors” of utility regulation. Some states permitted their utilities to participate in wholesale power markets, with competition between electric generators administered by Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs).In some cases, states went even further and “deregulated” their utilities through full “unbundling,” which included a divestiture of generation assets to third party operators and enactment of electricity “retail choice.”
Most prominent were Texas and several states in the Northeast and Midwest. Advocates of deregulation promised more competition, innovation, reliable service and lower consumer prices.
Deregulation has not delivered on those promises.