Deregulation is defined as – The process of decreasing or eliminating government regulatory control over industries and allowing competitive forces to drive the market.
Consumers in deregulated territories are able to choose who to use as their energy supply company. You can now shop for the most competitive rates and plans. Prior to deregulation this was not an option, you were stuck with whatever rate the local utility wished to charge you.
Energy deregulation allows for increased competition in the electric & gas utility industry. With no industry competition, local utility companies were previously able to charge elevated electric and gas prices. An open competitive market helps to reduce rates.
Another benefit of deregulation is that customers can now have more say in where and how their electricity is produced. Most suppliers now offer renewable energy sources, such as solar or wind, also referred to as ‘green energy’. With the increased demand for green energy programs, deregulation is helping to protect the environment.
As a note, you will not be switching from your utility company. Your local utility company remains the same; they will continue to deliver electricity and/or gas, read your meter, provide customer service and bill you for the delivery and distribution just as they always have. There are no service interruptions when switching suppliers. The process is seamless and the only difference you will notice as a consumer is your new energy supply company will be listed on your utility bill with your new rate.