September 4, 2002—A new state-by-state analysis of electricity markets released by Citizens for Pennsylvania’s Future (PennFuture) shows that consumers now are both paying less and able to purchase cleaner electricity than in 1996, with states who energy markets have been deregulated leading the way.
Key findings of the report, “Electricity Competition: The Story Behind the Headlines—A 50-State Report,” include:
- Residential electricity prices have experienced an average drop (adjusted for inflation) of 15.4 percent since 1996. The twenty-two states and the District of Columbia with restructured markets lead the price cut, with rates in restructured states averaging a 15.9 percent drop.
- For commercial customers, rate cuts in restructured states average 13.7 percent, and industrial customers’ rates are down 4.5 percent.
- Clean energy policies are in place in seventeen restructured states and only two monopoly states. These policies, which include creating state funds for renewable energy development and requirements that electricity companies produce increasing ratios of clean energy, are driving a burgeoning renewable energy market.
- Twenty states plus the District of Columbia receive a grade of A for reducing rates more than the national average for all customers—residential, commercial, and industrial. Three states receive an A for superior clean energy policies.
The PennFuture report is based on electricity pricing data from the US Department of Energy and the Energy Information Administration, restructuring information from the National Conference of State Legislators, and clean energy research from the American Council for an Energy Efficient Economy. Copies of the report are available through the PennFuture Web site.
