Before deregulation in the 1980s, the only option consumers had for their supply was their local utility; there was no choice. The government-regulated pricing and single-distribution source fostered a monopolistic marketplace. Once deregulation was approved, customers started benefiting from an open, free marketplace offering a choice in supplier and ultimately, more competitive rates.
What is Energy Deregulation?
Energy deregulation is the reason that you can shop for an energy provider in the first place. It gives you the power to switch your electricity or natural gas supplier and ultimately affects how much you will pay for your energy.
Deregulation gives consumers a choice when it comes to their energy supplier. It also motivates suppliers to differentiate their products and offer comparable rates and pricing to be competitive in the marketplace.
What does Energy Deregulation Mean for Me?
Having the power to choose your energy supplier allows you to compare natural gas and electricity rates, giving you more control over your energy costs. Deregulated energy also gives you the chance to choose from different products, like IGS Energy’s go green™ products.
You don’t have to worry about service interruptions when you switch energy suppliers because your local utility will handle the details. Your utility is still responsible for distributing energy commodities to your home, regardless of the supplier that you choose. The only difference is that the supply price is not set by your utility. Depending where you live, you may receive billing information from your supplier, or from your utility with a mention of your supplier.
Deregulated Energy by State
Energy deregulation is taking place on a state-by-state basis. Certain states are fully deregulated for electricity and natural gas, while others are only deregulated for one service or the other. Some states have not yet implemented any type of energy deregulation.
The Benefits of a Free Energy Market
The free and open market gives you the power to choose from several options for your natural gas and electricity supply. With competition brings new innovations and efficiencies, and allows you to choose a supplier with the right price, products, service, and support that fits your needs.
When you purchase your natural gas and electricity from IGS Energy, we deliver it directly to your local utility, who continues to provide you with expert distribution, metering and billing services.