Texas Electric Deregulation – A Road Map For America
Posted by: Jerry Dyess in Business, tags: Business, dergeulation, electricity, Home, savings, texasMonopolies aren’t good for customers, just companies. That’s true of electric companies, too. With monopolies, customers are simply left to put up with what they’ve got in front of them, service from one company. This gives companies all the advantage, and none of the difficulty. It also lets them drive prices up such that they can make profits without having to provide significant value to consumers.
Because of this, electric companies have been reined in such that deregulation laws in Texas have been put in place as of 2002. Now, most citizens in Texas can choose the providers they want for their electricity. That gives more competition, which puts customers in control once again. Deregulation means better customer service, a chance to use renewable energy sources instead of the “same old, same old” nonrenewable, bad for the environment sources, and better pricing as well.
That wasn’t always the case. Before deregulation was part of the landscape, a single utility provided service to an area and performed all duties, such as transmission, distribution, and sales. Consumers were left “holding the bag,” and had to put up with what they got, whether it was truly good value or not. However, deregulation has now changed this, so that one company handles distribution and transmission, but other companies handle billing and sales. Customers now have choice, so that they can choose the providers they want to provide service to them. The Public Utility Commission provides oversight for the entire process, so that pending problems are addressed immediately before they become overwhelming.
About 75% of today’s citizens in Texas can choose their own power providers, and to some extent, this also controls how much they pay. It also helps them choose where they get their power from and the level of service they enjoy. Private consumers and businesses alike are benefited by this, because when businesses benefit, their customers benefit, too.
Why? Because when businesses can choose their own electric service providers, they get lower utility costs and better service. In turn, they pass those savings and the benefits of that improved service on to customers.
Even with this improvement, of course, there are still some 25% of electric consumers in Texas who do not get the benefits competition provides. Large cities like Austin and San Antonio, for example, are among those who do not experience the benefits of deregulation, and areas that use electric cooperatives also are exempt from deregulation practices.
Even so, electric utility providers are still performing positive changes. Renewable energy sources continue to be experimented with, implemented where possible, and continually developed. For example, wind farms are springing up statewide and are one way of providing completely renewable and clean energy that can be converted for electrical needs.
If you are a citizen of Texas and you live somewhere where deregulation is enforced, make sure you use it and utilize its benefits. Choose your provider by shopping around for the company that’s best going to suit you and your family’s needs. Many websites, like ChooseEnergy.com, also provide tools whereby you can choose a company by comparing between companies with real-time pricing data. This allows you to shop around just by going online and comparing different companies with ease.
Once you’ve done your research and have chosen an electric provider that will meet your needs, at the best possible price, place an order with the company and they will send you information on what your rights as a customer. You will also get a terms of service agreement from your new provider. There is no need to contact your old provider, because your new provider will handle the change of service and you will simply get a notice that your service has been changed in your mail. Your next meter reading is when the change of service will actually take place.
However, do be aware that your new company is not going to take over responsibility for the final bills from your old company. Take care of those bills yourself, though, and you should be fine. Besides that one small responsibility, there is no effort in switching companies, such that it should be absolutely painless and automatically done. Just choose your new provider, and enjoy the benefits of deregulation and competition.
About the author: Jerry Dyess specializes in Texas Electricity news and Texas Electric prices.

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