Energy choice FAQs
Where does FirstEnergy Solutions Corp. supply electric generation?
What is electric deregulation/restructuring and what is its purpose?
What exactly is open to competition as a result of electric deregulation/restructuring?
How does competition help keep costs down?
What is the impact of competition on my service?
What is the relationship between FirstEnergy Solutions Corp. and FirstEnergy Corp.?
Where does FirstEnergy Solutions Corp. supply electric generation?
FirstEnergy Solutions Corp. offers electric generation supply to customers in Maryland, Michigan, New Jersey, Ohio, and Pennsylvania.
What is electric deregulation/restructuring and what is its purpose?
Electric deregulation/restructuring is a term describing the ability for consumers to select the company that provides their electric generation. In competitive or restructured markets, the traditional monopoly structure for generating energy to retail consumers is opened to choice, allowing competing suppliers to enter the market. Generally, this deregulation/restructuring is permitted by governmental or regulatory proposal, and is addressed at the state or regional level. Although deregulation/restructuring is still relatively new, customers are already recognizing the benefits - more competitive energy prices and products that are not offered under regulated service.
What exactly is open to competition as a result of deregulation/restructuring?
When a state restructures its electric utility industry, customers can select a competitive electric generation supplier. The electricity generation, or "supply" part of the business, is competitive. However, the local utility and transmission companies that own the poles and wires and deliver electric generation supply to your business are still regulated. Additionally, the local utility company remains responsible for the overall reliability of the transmission and distribution of electricity.
In states where customers can choose their electric generation provider, a customer's electric bill will show a "generation" or "supply" charge representing the fee for the amount of electric generation supply used. The bill also includes charges owed to the local utility company (also known as the "distribution company") for delivering power to customers via its poles and wires.
How does competition help keep costs down?
The competition between the suppliers forces them to compete for business, therefore encouraging them to find more efficient ways to serve customers.
What is the impact of competition on my service?
Restructuring/deregulation only impacts who supplies the generation for your business. The distribution of electricity is still the responsibility of the local utility.
What is the relationship between FirstEnergy Solutions Corp. and FirstEnergy Corp.?
FirstEnergy Solutions is an unregulated subsidiary of FirstEnergy Corp.
(05/31/07)
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