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Interesting. I live in Illinois and we choose to pay “day ahead” prices from an alternative, real-time type provider. We've saved over $500 in electricity since we switched. We don't mind limiting use at expected peak times, and doing so let's us shave off load so that other energy customers can be charged less on their normal rates (when rates are recomputed each year, other suppliers must consider the costs of peak usage occasions and charge extra to prepare buy in the coming year on the spot market).

The Republican is wrong in describing the “need” for local monopolies to have coverage for those who have opted out. However, even if it were true, they would simply add that demand to their spot market purchases when ever demand went beyond what local supply provides.

Energy supplier choice MUST continues to be allowed for true competition to occur.

Finally, for those wondering, we pay a separate set of fees to completely cover the infrastructure and transport of our electricity to our home, so my neighbors are not paying anything for “transporting” my choice.

The electricity market here in Texas was deregulated a few years ago and it seems to be working out well. My basic understanding of what happened is that the the electric utility was broken up into three parts: the power generators, the transmission grid, and retail sales.

Don't quote me on this, but here is my understanding of how it works. The transmission grid is still managed in a public utility type fashion. However, the power generators sell their power in a stock market type of system, with prices being updated every 15 minutes on the market, 24/7. They thus have to compete with each other on price as demand changes throughout a typical day. The retail sales companies are what us customers interact with. They generally provide electricity plans with a constant $/kWh rate, while they themselves are trading on that “stock market” all day long, buying 15-minute chunks of electricity at whatever the best rate is at the moment. Of course, I'm sure this buying and selling is all automated by pre-written software algorithms.

In the end, we have some pretty good electricity rates. I believe the national average is around 12¢/kWh, while we have plans for under 6¢/kWh. Switching retail providers is super easy as well, kind of like switching cell phone companies. If you are no longer under contract, you just sign up with a new company and your old plan will automatically be canceled, with no lapse in service during the transition.

Anyway, who knew that competition is good, right?

Texans can browse and purchase the plans available in their area with the statewide exchange website, www.powertochoose.org. (You can type in 77002 for the zip code to see an example of plans in Houston.)