Energy Policy Center
The purpose of this study is to provide an update to the research team’s 2016 report “Electricity Customer Choice in Ohio: How Competition Has Outperformed Traditional Monopoly Regulation” using data for 2016 through 2018.
1. Since 2011, Ohio consumers have saved $23.9 billion because of deregulation.
2. Competition has driven down average electricity prices in deregulated Midwestern states (Ohio, Pennsylvania, Illinois), while their regulated peers (Indiana, Michigan, Wisconsin) have seen a steady increase in price of generated electricity.
3. The Study Team anticipates that savings will continue for the near term to be around $3 billion per year. However, these savings may be lost, in whole or in part, if deregulated energy markets continue to be undermined by cross subsidies of uncompetitive Investor Owned Utility (IOU) generation through Electric Distribution Utility (EDU) riders and surcharges, or through legislatively-mandated, above market Power Purchase Agreements (PPAs) and subsidies.
Thomas, Andrew R.; Bowen, William M.; Henning, Mark; Hill, Edward W.; and Kanter, Adam, "Update on Electricity Customer Choice In Ohio: Competition Continues to Outperform Traditional Monopoly Regulation (Full Report)" (2019). Urban Publications. 0 1 2 3 1618.