The roles of antitrust law and regulatory oversight in the restructured electricity industry

Journal Article · Sat May 01 04:00:00 EDT 1999 · Electricity Journal

DOI:https://doi.org/10.1016/S1040-6190(99)00023-8· OSTI ID:20013719

Glazer, C A; Little, M B

The introduction of retail wheeling is changing the roles of regulators and the courts. When states unbundle the vertically integrated investor-owned utility (IOU) into generation companies, transmission companies, and distribution companies, antitrust enforcement and policy setting by the state public utility/service commissions (PUCs) will be paramount. As was seen in the deregulation of the airline industry, vigorous enforcement of antitrust laws by the courts and proper policy setting by the regulators are the keys to a successful competitive market. Many of the problems raised in the airline deregulation movement came about due to laxity in correcting clear antitrust violations and anti-competitive conditions before they caused damage to the market. As retail wheeling rolls out, it is critical for state PUCs to become attuned to these issues and, most of all, to have staff trained in these disciplines. The advent of retail wheeling changes the application of the State Action Doctrine and, in turn, may dramatically alter the role of the state PUC--meaning antitrust law and regulatory oversight must step in to protect competitors and consumers from monopolistic abuse.

• Research Organization: Public Utilities Commission of Ohio, OH (US)
• OSTI ID: 20013719
• Journal Information: Electricity Journal, Journal Name: Electricity Journal Journal Issue: 4 Vol. 12; ISSN ELEJE4; ISSN 1040-6190
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
ANTITRUST LAWS
COMPETITION
CONSUMER PROTECTION
DEREGULATION
ELECTRIC POWER INDUSTRY
LEGAL ASPECTS
RETAILERS