http://www.morganenergy.com/?p=563 Discussing Energy Economics on the Internet Fri, 19 Jun 2009 17:18:43 +0000 http://wordpress.org/?v=2.9.2 hourly 1 http://www.morganenergy.com/?p=563&cpage=1#comment-1372 Retail electric power market shakeout in Texas, II « Knowledge Problem Wed, 04 Mar 2009 20:44:21 +0000 http://www.morganenergy.com/?p=563#comment-1372 [...] Cheryl Morgan summarized my post as asking “whether vertical integration might have been a better option for Texas,” but I wouldn’t say it quite that way.  “Vertical integration” in the electric power industry is typically conceived as bundling retail, local distribution, transmission, and generation.  As I recall Sally Hunt’s point (in her book, Making Competition Work in Electricity, and I too don’t have the book handy so I’m relying on memory), she argued that it make sense to unbundle the wires from the non-wires portions of the business, but it wasn’t inherently desirable from a policy standpoint to unbundle retailing from generation. [...] [...] Cheryl Morgan summarized my post as asking “whether vertical integration might have been a better option for Texas,” but I wouldn’t say it quite that way.  “Vertical integration” in the electric power industry is typically conceived as bundling retail, local distribution, transmission, and generation.  As I recall Sally Hunt’s point (in her book, Making Competition Work in Electricity, and I too don’t have the book handy so I’m relying on memory), she argued that it make sense to unbundle the wires from the non-wires portions of the business, but it wasn’t inherently desirable from a policy standpoint to unbundle retailing from generation. [...]

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