The report, authored by the Analysis Group, provides a thorough analysis of different state and industry experiences with retail energy markets, explores effective methods to evaluate market benefits, and proposes reforms to maximize these advantages.
Report findings demonstrate that states with retail energy choice have substantially more options available to consumers for the purchase of electricity, play a critical role in the development of clean energy resources, create and market a wide range of products that are designed to meet consumers energy cost management and non-price preferences, and create the conditions to lower all energy costs in the state market over time.
Specifically, the study comprehensively evaluates the history and prospects of retail choice based on the following set of metrics focused on competition, consumers, and energy/climate policy:
Paul Hibbard, former chairman of the Massachusetts Department of Public Utilities and Principal at the Analysis Group: “While the original intent behind restructuring was focused on reducing energy costs, the benefits of a functioning competitive retail energy market go well beyond price; it allows consumers to exercise choice, allows for unique product offerings tailored to consumer interest, and fosters innovation that will be a powerful tool in the toolbelt states will need if they are to successfully achieve decarbonization goals. However, now is a critical time for states to get it right.”
Chris Ercoli, President and CEO of the Retail Energy Advancement League: “We are urging policymakers, industry stakeholders, and consumer advocacy groups to collaborate on implementing proposed reforms outlined in the report” said Chris Ercoli, President and CEO of REAL. “By properly evaluating the performance of retail markets, prioritizing consumer education initiatives, and strengthening regulations, restructured states can unlock the full potential of competition and foster a more transparent, innovative, and sustainable energy landscape.”
Mike Boyd, Executive Director of the Alliance for Electrical Restructuring in Oklahoma: “Oklahomans are experiencing skyrocketing electricity prices under our monopoly model, while those same monopolies are reporting record profits. Oklahoma families and businesses deserve to have options when it comes to who they choose to do business with. The current system is unfair, expensive and serves corporate interests over the interests of Oklahomans. It’s time for our legislature to restructure our electricity market to allow choice and competition.”