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ARTICLE · 30 AUGUST 2019

Preserve Retail Competition

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Proposals to eliminate competition in retail electric supply to consumers are in the air. A consultant to the Massachusetts attorney

United StatesEnergy and Natural Resources
John Shope
John Shope
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Proposals to eliminate competition in retail electric supply to consumers are in the air. A consultant to the Massachusetts attorney general has just published an update to a report of last year asserting that retail competition has led to nothing but losses. The report coincides with the recent filing of lawsuits alleging that competitive suppliers are committing fraud or engaged in unfair and deceptive practices because agreed prices were higher than the cost of default service. But, while certainly worth considering, the economic analysis by Susan Baldwin, a former DPU regulator, overlooks important aspects of the competitive electric supply market. The case for its elimination has yet to be made.

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