Traditional Culture Encyclopedia - Traditional culture - Why is the electricity price in the United States cheap?
Why is the electricity price in the United States cheap?
1, strict laws and regulations
In the United States, there are federal laws and regulations to restrict the wholesale power market to ensure the price rationality of cross-state wholesale power sales and transmission services, state laws to restrict power supply retailers that directly serve consumers, and federal and state laws to ensure reliable and sufficient power resources. Especially after the "California power crisis" at the beginning of this century, the federal and state government departments have also adopted special policies and regulations to ensure the transparency of commercial transactions and property of power resources companies. In addition to the direct management of federal and state government departments, power companies are also supervised by other government agencies, such as the Federal Trade Commission and the Department of Justice.
2. Citizen supervision ability
In the United States, water, electricity and other service companies cannot directly raise prices. They need to submit their suggestions to the local board of directors first, and then hold a residents' hearing. If the increase is huge and unreasonable, it may lead residents to organize according to the corresponding laws and regulations to stop this price increase.
3. There is no monopoly competition by a single company.
In the United States, the power companies serving in each region (local, county and city level) may be different, which is caused by historical bidding. The direct result of this is survival of the fittest. Poorly managed companies are gradually merged and bought out over time, and companies that can continue are recognized in the competition.
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