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Electricity: false freedom.(special section - deregulation and consumers)(includes related article on policy recommendations)(Industry Overview)

Consumer Reports

| July 01, 2002 | COPYRIGHT 2002 Consumers Union of the United States, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

WHAT WAS DEREGULATED: Wholesale electricity prices in 1992; 16 states and the District of Columbia allowed competing electricity generators to use local transmission lines as early as 1997.

SAVINGS: ([up arrow]) Rates have fallen because of regulated cuts, not free markets.

SERVICE: ([left arrow][right arrow]) Customer satisfaction ranges widely, worst in California; no guarantees against blackouts.

CONSUMER RIGHTS: ([up arrow]) New rights on billing and slamming.

SAFETY: ([left arrow][right arrow]) Infrastructure has remained regulated.

CHOICE: ([left arrow][right arrow]) Residential choice abundant in some states, limited in others.

INNOVATION: ([left arrow][right arrow]) Internet-controlled thermostats in Pennsylvania to reduce peak demand for air conditioning and electric heat.

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