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Benefits
of Public Power
About
35 million Americans receive electricity from more than 2,000
community-owned electric utilities operated by municipalities,
counties, states, or other public bodies such as public utility
districts. They are in every state except Hawaii. These public
power systems, owned and operated by the communities they serve,
are deeply rooted in the history of the United States. They are
an expression of the American ideal of local people working together
to meet local needs. Like community schools, parks, hospitals,
and water, sewer, police and fire departments, public power systems
are locally created institutions that address a basic community
need: they provide an essential public service and tackle a variety
of local issues by involving the community in the decision-making
processes.
Like all electric utilities, public power systems must meet an
increasing variety of federal and state mandates. However, community
ownership confers enormous
benefits on citizens of public power cities because it provides wide latitude
to make local decisions that best suit local needs and values. Every city
and town has its own distinctive characteristics: natural resources,
geography
and climate, economic and social opportunities and challenges, diversity
of citizenry, and community spirit. These local characteristics
must be taken
into account when decisions are made about electric rates and services, generating
fuels, clean air and water, and other issues that affect the entire community.
Public power stimulated economic prosperity, translating into
better living conditions for families and the entire community.
Public
power has the ability as a local government arm to provide streamlined, "one-stop" customer
services that encourage existing business customers to maintain
and expand their operations and attract new businesses. Strong
stable employers mean strong, stable jobs for local citizens.
Low electric rates also hold down consumer costs, allowing public
power customers to spend more money on other goods and services.
This further stimulates the local economy.
While
public power utilities are "not-for-profit" organizations, that
does not mean that they are not entrepreneurial, or that they do
not make major economic contributions to their communities.
Public
power systems on average return to state and local governments
in-lieu-of-tax payments and other contributions that are equivalent
to state and local taxes paid by private power companies. In
addition, unlike their private power company counterparts, public
power systems serve only one constituency: their customers. They
do not divide their loyalties between service customers and trying
to make higher profits for stockholders.
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