Starion Energy & Deregulation

The purpose of energy deregulation is to break up the natural monopoly of local utility companies. Deregulation opens the generation portion of electric service to competition from alternative electric suppliers, giving consumers more control over their energy costs.



Before deregulation, consumers did not have a choice. The local electric company purchased electricity directly from power plants and charged the consumer a standard rate for electric service. If a consumer needed electricity, they had no choice but to purchase it at the standard rate from the local electric company.



Energy deregulation gives consumers the Power to Choose an alternative electric supplier and determine the rates and terms at which they purchase electric generation services.