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  • Jennifer Heywood

Update: Retail Electric Rates in Deregulated States

The American Public Power Association authored a recent report regarding titled retail electric prices comparing rates in states with deregulated electric markets versus those in regulated states. The ultimate conclusions found the rates averaged the same between 1997 and 2017, with customers in regulated states experiencing only slightly higher percentage increases in rates. The report found, “Though not perfectly correlated, rate trends in deregulated states have generally tracked with shifts in the natural gas spot price. All rates have remained relatively steady since 2014, though there was an increase across all categories from 2016 to 2017.” Additionally, the report notes that the increases in deregulated states have been in the commercial and industrial sectors rather than residential, where customers have not chosen alternative suppliers. Residential rates have increased by the same amount since 1997 in both regulated and deregulated states. Read the full report here.

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