My Rates were 7.5 cents/KWHr in Kansas and 15 cents/KWhr in Houston.
Houston is deregulated and you pick an electric provider. Kansas City is not (KCP&L). I thought deregulation was supposed to lower rates?? What's the deal??
2007-01-01 09:22:08 · 2 answers · asked by maxton 2 in Business & Finance ➔ Personal Finance
Yes, deregulation is SUPPOSED to lower rates....but it rarely does. The same thing happened here in CA.
2007-01-01 09:31:07 · answer #1 · answered by The Man In The Box 6 · 0⤊ 0⤋
Regulation == suppliers are forced to supply at the rate decided by the legislators.
De-regulated == suppliers compete for Customers by offering cheaper rates.
Only one problem - in some States the Utilities have been (and are being) forced to supply at BELOW cost - so as soon as de-regulation comes in, the price goes up to the actual cost of supply (no Utliity is willing to supply at below cost - at least not for long)
2007-01-03 10:44:39 · answer #2 · answered by Steve B 7 · 0⤊ 0⤋