Deregulation (Energy)
The unbundling of electricity generation from transmission and distribution, allowing consumers to choose their electricity supplier in competitive markets. ~17 states have some form of deregulation.
Why It Matters
In deregulated states (Texas, Ohio, PA, NY, CT, etc.), you can shop for electricity suppliers — potentially getting lower rates or 100% renewable supply. In regulated states, you have one utility.
Related Topics
Related Terms
ERCOT
The Electric Reliability Council of Texas — the independent system operator that manages the Texas electric grid, which covers ~90% of the state and is largely isolated from other U.S. grids.
Distribution Charges
The portion of your electric bill covering the cost of the local power lines, transformers, and infrastructure that deliver electricity from substations to your home.