Energy Deregulation

As we have witnessed the rolling blackouts and emergency alerts passim numerous move of our state of California within the past 12 months, there is a question waiting to be answered. why do we have an energy crisis when there are different states that are doing just fine? Before we come to both hasty conclusion, let us ask ourselves what happened to the energy indemnity during the mid 90s? During that period the electric utilities went from being highly adjust to being deregulated following the trend in successful deregulating of many industries such as airline and telecommunication industries. The fantasy that deregulation result bring more competitive prices and weaken services to the public, undermined the negative potentials of the free market system. Deregulation tone must be abolished because it brings higher electrical energy prices, lower reliabilities of electricity, and overly it threatens to drag down our economy along with it. First, we have seen a nation-wide increase in both entirelysale and retail electricity prices. In California as an example, the wholesale prices increased vii times last year compared to 1999 (Kahn and Lynch 13). The average residential electric bill nearly doubled from $40 to $80 in San Diego when the SDG & Es retail price freeze cease in June 2000.

1 According to Washington Governor Gray Locke, the whole energy prices have gone up from ten to xx times the prices of a year ago (1). In tender York, more specifically in New York City and parts of Westchester County which are one of the first areas in the country to deregulate retail prices entirely, the retail rates have increased almost 30% (Eisenberg 47). This is bad when you consider that ones that are going to be most hurt from these unreasonably high electricity prices will be the individuals and families that are in the low-income bracket. Second, the reliability of electricity was compromised throughout many parts of our state, affecting both residential and telephone line sectors. On June... If you want to get a full essay, sound out it on our website: Orderessay

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