The Bitter-Sweet Success of Energy Deregulation in Texas Published: 09.04.2010 | Author: serenamaria02 | Category: Business The deregulation of the electricity market in the state of Texas has been the topic of discussion amongst supporters of the legislation and its skeptics. An overview of the law on deregulation presents information that show that this new energy scheme has both positive and negative effects on the state鈥檚 economy.
The enactment of Texas Senate Bill 7 gave birth to deregulation in the electricity market in Texas. The law states that the state government may require the incumbent utility energy provider to allow for unlimited competition within the marketplace air max damen schweiz , where the consumer is free to choose any electricity provider. This ability to decide which energy provider to go with has been aptly named by many as 鈥渢he power to choose鈥?
Today roughly a dozen of the lower forty-eight contiguous United States allow for consumer choice in electricity providers. It is interesting to note that the state of Texas employs the most widely watched deregulatory scheme. Other states continue to observe the Texas deregulatory model in order to ape and study its design as a paradigm for the imposition of free market forces within their respective energy markets.
The average American home consumes electricity at a rate of approximately ten cents per kilowatt. Supporters of Texas Senate Bill 7 claim that deregulation will eventually lead to a reduction in energy prices. Many detest that when it comes to lowering the electricity bill air max schuhe schweiz , deregulation was a complete failure. Prices in energy consumption of Texas utilities have skyrocketed air max schweiz bestellen , bringing a huge blow to the claim of lower energy fees by deregulation proponents.