Pressure to High-Grade Mines

Deregulation, as authorized by the Energy Policy Act of 1992 (PL102-486) allows free-market competition in the electric-utility industry. As the act unfolds, though, uncertainties abound about the type, degree and direction of impacts throughout the affected economy — from fuel suppliers to electricity generators and from power distributors to energy consumers. Instead of having a familiar base of captive customers and electricity prices fixed by negotiation with state public utility commissions, utility companies are preparing for open, free-market competition. They are looking at all areas, including fuel supply, to cut costs to remain competitive. Humorous anecdotes are told about utility companies shunning insiders for senior executive positions. Instead, they are opting for people from the telephone or other industries with deregulation experience. And there are light-hearted stories about a trend away from traditional electric-company names, such as the name of a city or state followed by Edison or Power and Light, to space-age names, such as Ameren, Entergy, Illinova or Unicom. No one wants to be left behind or be perceived to be left behind.