Value of Competitive Energy Markets
While many detractors point to average price as the indicator of success or failure of competitive energy markets, many indirect measures may provide much better insight into the value of those markets.
Unlike monopoly-governed markets, competitive energy markets give companies the freedom to:
- Contract for energy prices for specific periods to match their business plans and needs, including locking in energy prices well into the future
- Choose the amount of energy price risk they are willing to bear
- Be rewarded for managing the costs of their operating practices