Energy Deregulation for the state of Ohio
The state of Ohio was one of the earliest amongst states to deregulate the gas industry in 1997. This deregulation of gas came ages before the deregulation of electricity, which was formally put into action in 1999 but was fully implement in 2001. The General Assembly passed the Senate Bill 3 which enabled the competitive electricity marketplace to be created. The Ohio Public Utilities Commission was responsible for the deregulation of gas in Ohio.
Competitive marketplaces function on the principle that when there is more competition, prices go down and the quality of services go up. This has proven true for deregulated markets in which competitive marketplaces are thriving. Customers can then choose their favorite gas or electricity supplier according to the rate that suits them most. Quite a lot of Ohio residents and industries have taken advantage of these competitive marketplaces, and have ended up saving thousands of dollars in their gas and electricity bills over the years. This deregulation proved especially good for businesses and industries whose gas and electricity usage was a lot more than residential usage. This automatically meant that their savings were also a lot more.
Unfortunately, Ohio is one of the few states in which not all residents can benefit from this opportunity. A few parts in the state are serviced by electric cooperatives which are member owned utilities that are also nonprofit. They are however very exclusive and limited to members and that territory, which is why this deregulation does not apply to them at all. Sadly, there is no way for the state of Ohio to help out these residents by lessening their bills because their gas and electricity is solely dependent on these electric cooperatives.
Despite all that, this deregulation process has proven to be extremely successful in Ohio. Over 40 percent of businesses and industries have chosen alternative gas suppliers which is especially great because it helps and supports the competitive marketplace and aids it in becoming better and more innovative. At least half of the residential population has opted for alternative gas suppliers which has helped them save a lot of money as well.
While helping out in saving money, this competitive marketplace has also done a really important thing. It has introduced and improved innovation in green energy and renewable energy production. This green energy technology is essential for all states, and those with deregulated markets are seen progressing far better than those with regulated markets.