Deregulation began in the 1980's to give consumers choice and a chance for savings, but it also requires an extensive understanding of the markets.
There once was a time in the United states when everyone had to deal with one utility company. That one utility provided the three components of your energy service: generation, transmission and distribution. That utility also set the price for electricity and natural gas. You had no choice but to pay that price.
Staring in 1977, states began to change their regulations and deregulate or "unbundle" the utility services, allowing consumers to now "Shop around" for the actual utility commodity (electric or natural gas).
Energy deregulation is done on a state-by-state or Utility by Utility basis with some federal oversight and regulations administered by the Department of Energy and the Federal Energy Regulatory Commission (“FERC”). Each state has very specific rules and there are different energy markets in each state. For example, in states like Maryland or Illinois, you must sign up with the Utility before seeking an alternative supplier but in Texas this is not the case.
If you are in a deregulated market, your organization can benefit from shopping for its energy supply in the open market. Shopping benefits you by creating competition among energy suppliers, offering a variety of product options and contract terms that can be customized to your unique requirements.
However, navigating these volatile energy markets and the plethora of available choices is far from a simple exercise. This is where EAS can benefit your organization. EAS' team of energy experts help you understand the options brought about through the competitive marketplace and work with you to develop a procurement strategy that reduces costs and minimizes risks for your organization.
Although energy deregulation covers almost every state in the U.S. and many countries throughout the world, the opportunities vary from market to market. Click any state or country on the map to learn about the energy services offered in that area.
