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Apr 1

The Magical Nature of Deregulation

Posted by at 20:16 | Default | Comments(0) | Reads(1655)

The long and hot Texan summer invariably takes its toll on the resident’s purses. With air conditioners humming away every day and night, one of the given facts are high utility bills. Perhaps this is the main reason why Texans passionately campaigned for and went ahead to win the exclusive right to deregulate electricity.

Approximately thirteen years ago, backed by state legislation, Texas was able to deregulate their electricity industry. The legislation has given residents the flexibility and freedom to choose their own electricity providers. With the legislation, the numerous monopolies that dominated the electricity industry were shown the door. Following the deregulation in Texas, a number of states followed suit. As much as this happened, the ride has not been that smooth. The sure thing is that the power and control of electricity decisions went back to where it belonged – that is to the people.

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As it is now, consumers can shop for electricity providers by the mere click of a button. You can effortlessly choose the product that suits your needs.

What does the competition mean?

By introducing competition in the industry, the advantage utterly lies with the consumers. Now more than ever, electric consumers can easily save substantially on their utility bills. Actually, according research, consumers can now save more than twenty-five percent. This is great news because the money saved can be used in countless other areas.

Innovative products and utmost flexibility

Competition also means that innovative products will hit the market. In addition to innovative products, consumers will also enjoy consumer-friendly services. Another aspect that came about because of competition is flexibility. Today, you can choose your electric provider based on your needs. This means that you are not forced to pay for rates that you do not want to pay. You can now choose a product based on your lifestyle. There is no doubt about that.

Upgrading services

Because of stiff competition, most electricity providers had to upgrade their services. In fact, many providers had to do away with the archaic pieces of equipments that were initially used in the generation and transmission of power. In turn, this enabled the companies to effectively meet the emission criteria. Companies can now recoup all the money they spent in the acquisition of new equipments.

Regulations encourage the production of other forms of energy

Since deregulation took center stage, companies have found it necessary to produce electricity through other sources such as biomass, water, solar energy and wind. Additionally, the government has promised lower bills and tax benefits. With all these, consumers of electricity have very little or even nothing to complain about.

The promise of cheap electricity has not been fulfilled yet. However, deregulation was a major step towards that direction. In some few years to come, everyone, including the ordinary citizens, will find electricity more than affordable. There is no doubt about that.

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