Michigan Makes Great Strides in Electric Restructuring Study; Pennsylvania, New York Still Lead Nation

WASHINGTON—The states of Michigan, Ohio, West Virginia and Rhode Island have made the greatest strides toward electric restructuring this year, an update of the Retail Energy Deregulation Index 2000 (RED Index) revealed.

The July update to the RED Index, originally issued in February by the Center for the Advancement of Energy Markets (CAEM), also showed that Pennsylvania and New York continue to be nearly tied for the national lead in electric restructuring, while there are signs that California is retreating from its pro-restructuring policy.

The July update showed that:

  • Pennsylvania and New York, with scores of 65 and 64 out of 100, respectively, lead the nation in customer choice.
  • Four state made significant strides, with jumps of more than 20 points since the original study in February 2000: Michigan (RED score 40, RED rank 12); Ohio (RED score 36, RED rank 15); West Virginia (RED score 31, RED rank 19); and Rhode Island (RED score 49, RED rank 8).
  • Texas, a relative newcomer to restructuring, leads the South with a score of 53 and a ranking of fifth in the nation.
  • California, the pioneer in electric restructuring, surprisingly ranks only 16th, with a score of 34.
  • Thirty-five states had either no change or an increase of less than 5 points.
  • The national average score is 21, up from 17 in February.

"The big surprise to us is that so many more states participated in the survey," said Ken Malloy, CAEM president. "When we began the study last year, only 22 states responded to our requests that they review how we classified their state. In the July update, 47 states responded."

"The customer choice model will eventually be implemented in all states," Malloy said. "But there is so much detail involved in 51 jurisdictions moving at different speeds on different issues that we need a user-friendly scorecard to measure each state's progress. The RED Index is the only effort to synthesize the mass of detail into a single number."

The RED Index 2000: July Update is a report that measures the progress states have made in moving from the monopoly model of public utility regulation to the competitive model. A RED Index score of 0 represent the monopoly model and a score of 100 represents complete and effective implementation of the competitive model. The index focuses on retail competition and currently covers only electric restructuring; it will be updated twice a year.

CAEM is an independent, nonprofit think tank whose mission is to promote an effective transition from the monopoly to the competitive model of regulation.

Sponsored by FLSmidth

Related Articles

EPA delays carbon rule to allow states to comply

During a press conference on Jan. 7, U.S. Environmental Protection Agency (EPA) Acting Assistant Administrator for the Office of Air and Radiation Janet McCabe said the agency will delay a final rule to control carbon dioxide (CO2) emissions from new coal-fired power plants.

Mergers, EPA carbon plan generated much attention during 2014

Mergers, the Environmental Protection Agency (EPA) Clean Power Plan, cheap natural gas and the polar vortex were among the most noteworthy generation stories of 2014.

Follow Power Engineering on Twitter

Latest News

 MS Power coal-to-gas conversion nearly complete

MS Power coal-to-gas conversion nearly complete

A coal-to-gas conversion project at a power plant operated by Mississippi Power is nearly com...
 North Anna nuclear power plant shuts down

North Anna nuclear power plant shuts down

Unit 1 of the North Anna nuclear power plant automatically tripped offline Feb. 26 as workers...
 Oklahoma leaders looking for more wind regulations

Oklahoma leaders looking for more wind regulations

With wind energy production in full swing in Oklahoma, legislative leaders are looking to imp...

Second-oldest nuclear reactor in S. Korea OK to restart

South Korea’s nuclear watchdog approved a plan to restart a 679-MW nuclear power unit that wa...
 SunEdison to bring power to 20Mn people by 2020

Video: SunEdison to bring power to 20Mn people by 2020

SunEdison, Inc. (NYSE: SUNE) announced plans to bring electricity to 20 million people in und...
02-25 Henry Hub Average Natural Gas Spot Prices

02/25 Henry Hub Average Natural Gas Spot Prices

The Henry Hub is the pricing point for natural gas futures contracts traded on the New York M...
 GDF Suez wants Areva to deliver nuclear reactors, wind turbines

GDF Suez wants Areva to deliver nuclear reactors, wind turbines

GDF Suez says it received guarantees from Areva for planned nuclear reactors in Turkey and wi...
 CB&I: We’re not liable for $247mn nuclear power project penalties

CB&I: We’re not liable for $247mn nuclear power project penalties

Chicago Bridge & Iron (CB&I, NYSE: CBI) say they should not be liable for any of the ...

Power Engineering Current Issue

12/01/2014
Volume 118, Issue 12
1412pe-cover1

Products Showcase

Dynamic Fluoride Ion cleaning DFIC of industrial natural gas turbines Hi-Tech Furnace Systems

Dynamic Fluoride Ion Cleaning of IGT Parts

The Dynamic Fluoride Ion Cleaning (DFIC) Process from Hi-Tech Furnace Systems is able to clean deep, narrow cracks of oxides by cycling between negative, atmospheric, and positive pressure.

Archived Articles

2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013

Power Industry Wire News

Intergraph(R) CADWorx & Analysis University Express in India During March to Include Sessions on Designing Plants and Offshore Facilities

Intergraph(R) CADWorx & Analysis University Express in India During March to Include Se...

What's Coming to the Energy Sector in 2015?

What's Coming to the Energy Sector in 2015?

SL Series Is Tinius Olsen's New Generation of Hydraulic Universal Testing Machines

SL Series Is Tinius Olsen's New Generation of Hydraulic Universal Testing Machines

Manitok Energy Inc.'s CEO Mass Geremia Interviewed by The Energy Report

Manitok Energy Inc.'s CEO Mass Geremia Interviewed by The Energy Report

UGE International Ltd. Announces Private Placement

UGE International Ltd. Announces Private Placement

Power Engineering

Article Archives for Power Engineering Magazine

Continuing Education

Professional Development Hours

To access a course listing associated to a specific topic listed below, click on the topic of choice from the list below.

Latest Energy Jobs

View more Job Listings >>