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Legal monopolies for energy companies

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2 Legit

Junior Member
Hello!

I was wondering if anyone knows about local, state, and federal laws that allow energy companies to operate as a monopoly? I understand that these laws are beneficial for the consumer because it allows for economies of scale, however, I feel that it hinders the growth of new energy developments. Thank you for your time!
 


justalayman

Senior Member
Most areas do not allow monopolies any longer. Many states have changed their laws to allow other providers to sell to customers and actuslly demand the utility whose infrastructure is in place to allow the other utility providers to utilize their infrastructure.

In my area I can buy natural gas from any provider wiling to sell it to me and electricity from any electricity producer willing to sell to me. The delivery would be through the same pipes or wires the previous monopoly company installed.
 
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