Evaluation of Electric Utility Restructuring in the UK

M ajor problem areas were encountered in the United Kingdom (UK) electric industry due to privatization, competition, and consumer interest. Issues include the original intent to make more efficient, affordable power for industrial and domestic customers; reliability issues; the planning and special circumstances involved in successfully implementing, marketing to, and interpreting consumer choice and reaction, provided by competition among electricity suppliers; and the formation and role of consumer councils. This article addresses critical evaluations, regulatory reform, consumer interests, and consumer responses to the change and apparent effects. The formation and role of consumer councils are also discussed. The primary question addressed is whether electric privatization and competition in the UK has been successful, and, secondarily, whether all parties involved have benefited from the changes.