November Election Impact on Energy Markets

10/31/2016 6:39:34 PM -



In order to stay competitive in today’s markets, we not only have to track change within existing deregulated markets, but also monitor changes in legislation that open new markets or in some cases could roll back existing deregulation programs.  Being prepared for early entry into a new market or taking appropriate action in declining markets is essential.  So, what changes might be initiated per the November 8, 2016 elections?  One significant even is occurring in Nevada!
 
Nevada vote on Deregulation

Nevada voters will weigh in on a ballot measure to give consumers a choice in who they buy their electricity via the creation of a competitive retail power market.  The measure has support of both democratic and republican backers and is being coordinated by the group “Nevadans for Affordable, Clean Energy Choices”.   Polls indicate that about 70% of Nevadans support the measure.  Advocates believe it will lead to lower electric prices and cheaper renewable energy options.

The state’s AFL-CIO unions, representing around 200,000 members are opposed to the ballot measure warning of higher Utility bills and loss of Utility jobs.  The major Nevada Utility, NV Energy who currently provides around 90% of the state’s electricity is officially taking a neutral position on the ballot measure, but has proposed a set of guidelines for the development of the retail market deregulated policies, should the measure pass. 

If the ballet measure is approved, the State Legislature will be required to draft rules for the retail power market, and then the proposed program will need to be voted on again in 2018.  If approved, it would result in a competitive electricity market by 2023.