Conducted by The Perryman Group, the study points out the annual benefit of electric competition to Texas employment is more than five times the economic impact of the first phase of the Toyota manufacturing plant in San Antonio set to open later this year and more than 10 times that of a new Texas Instruments wafer fabrication facility.
Ray Perryman, economist and president of the economic research and analysis firm based in Waco, says, "Numerous innovations have been introduced and prices are lower than they would have been in a regulated environment. Market forces are having the desired effects of providing consumers with more control and more choices at prices lower than they would have been under regulation."
Cost savings from four years of healthy competition has led to advances in many economic areas, the study found. Specifically:
The study noted that natural gas prices for the electric power sector have risen 268 percent since 2002. During the same period, the weighted average residential electricity “price to beat” has risen by about 85 percent, while the corresponding lowest competitive offer has risen by 69%.
Texas continues to be widely recognized as the healthiest and most successful market for retail electricity in the United States and, in fact, one of the best in the world, the study observed.
The study concludes, "An adequate and affordable supply of electric power is essential to current and future prosperity. Since the introduction of competition in the retail segment of the market for electric power, Texans have enjoyed substantial savings compared to likely rates in a regulated environment."
"Moreover, investments in generation facilities have helped ensure additions to capacity that will help to serve the needs of a growing population and economy.
