How Can I Capitalize on Energy Deregulation

By Krystle Gulino


Starting in the early 1990's, the push towards energy deregulation has developed a remarkable opportunity for entrepreneurial individuals to create added income streams. A half a trillion dollar change in assets is occurring while energy deregulation happens. The chance derives from the joining of 3 impressive forces in business: 1)The Energy Industry 2)Deregulation 3)The Direct Sales Business

The airline industry was deregulated in 1978 reducing the restrictions of federal, price regulation, route restrictions, and the lack of competition, while reducing tremendous amount of government red tape. While not idealic, the airline deregulation actually has brought us to the system and healthy competition that we have today. That system has made a reduction in the typical travel cost per mile for the consumer, while opening opportunities to new carriers like Southwest Airlines and Virgin Air. Almost all of us as private citizens did not get a chance to capitalize and make income with the deregulated airline industry.

The tele-communications industry deregulated with 2 big events. Ma Bell's stranglehold in long distance telephone service was stopped in 1984. At this time, Ma Bell was ordered to sell off ownership in its local ventures into the Baby Bells. In time both Sprint & MCI MCI and Sprint were in competition directly against AT&T and showed that they had the ability compete while making improvements to service & reducing prices for the end user. The second part of the tele-communications sectors deregulation came in 1996, with the Telecommunications Act of 1996. This act divided the local full control that the Local Bells held over local phone calls. This allowed competition in the local area markets from other start ups, cable providers, and eventually VOIP companies. In the 90's, several of MLM & telecommunication companies like Excel, & LCI worked together to create wealth if you positioned yourself.

Multiple states in the US have actually begun to replace the regulations in the power generation sector to increase competition amongst energy suppliers during the last several years. Movement towards deregulation has actually separated the monopolistic energy institutions by breaking up the manufacturing of different energy types from how they are distributed to the end user. This forced split produces even more competition, and reduced pricing. Before this deregulation movement started, both electrical power & natural gas were furnished by local utilities or local monopolies, that managed the power generation & delivery networks for energy together.

Energy service providers, utilizing E.S.C.O's, or Energy Service Corporations, have the capability to offer a wide array of Choices for service & rates. The strategy is to split up (deregulate) the development of power and permit customers a selection about where they purchase their power (just as they could select their long distance phone carrier). The local community utility service provider would still provide the power distribution, as they do today over their lines. From the perspective end user or client, nothing changes. There won't be any interruption of utility services, their current energy carrier still manages service and charges the customer's account. There is a small chance that the consumer may receive a separate invoice from the new energy company instead of a single statement from their existing energy company.

The convergence of deregulation, direct sales, and energy has already produced an incredible opportunity for people who really want to improve their lives permanently by joining with the right business opportunity. Robert Kiyosaki, the world famous expert on wealth and finance, has stated that The Direct Sales industry as the "Business for the Twenty First Century". Direct Sales is just a way to distribute a service or a product straight to the customer as opposed to using a normal retail shop. This is normally achieved by using an independent distributor sales force. Total revenue in Direct Sales corporations improved from about $139 billion US dollars in 2010 to $154 billion US dollars in fiscal year 2011. The International energy industry is worth almost $6 trillion US dollars, and over 1 trillion US dollars from the United States alone. With an ever increasingly competitive arena, the opportunities within the energy industry are plentiful. If it's sustainable energy sources, breakthroughs in technology, deregulated energy, implementation of smart grids, or energy efficiency, the opportunities for prosperity production are abundant for those entrepreneurs that are willing to educate themselves and take immediate action working with the right opportunity.

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