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Debates about electricity affordability often focus on utility returns, but many of the most common assumptions about how regulated utilities are financed are simply incorrect.

Power for Tomorrow's new primer, Utility Finance 101: How Regulated Utility Returns Support Affordable Electricity for Customersexplains how the regulated utility model works, why Return on Equity (ROE) is not a guaranteed profit, and how the regulatory system protects customers while ensuring utilities can attract the investment needed to build, maintain, and modernize the electric grid.

For years, proponents of electricity deregulation have argued that competition lowers costs for consumers. New data tells a very different story.

According to new proprietary analysis by Power for Tomorrow (PFT), informed by 2024 Energy Information Administration (EIA) data, residential customers in deregulated electricity states are paying dramatically more for power than those in traditionally regulated markets. 

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.

Utility Finance 101 — Understanding How Regulated Utility Returns Support Affordable Electricity
Gary Meltz Gary Meltz

Utility Finance 101 — Understanding How Regulated Utility Returns Support Affordable Electricity

Debates about electricity affordability often focus on utility returns, but many of the most common assumptions about how regulated utilities are financed are simply incorrect.

Power for Tomorrow's new primer, Utility Finance 101: How Regulated Utility Returns Support Affordable Electricity for Customersexplains how the regulated utility model works, why Return on Equity (ROE) is not a guaranteed profit, and how the regulatory system protects customers while ensuring utilities can attract the investment needed to build, maintain, and modernize the electric grid.

Read More
Pricing Data Confirms Families Pay More in Deregulated Electricity States
Gary Meltz Gary Meltz

Pricing Data Confirms Families Pay More in Deregulated Electricity States

For years, proponents of electricity deregulation have argued that competition lowers costs for consumers. New data tells a very different story.

According to new proprietary analysis by Power for Tomorrow (PFT), informed by 2024 Energy Information Administration (EIA) data, residential customers in deregulated electricity states are paying dramatically more for power than those in traditionally regulated markets. 

Read More