WASHINGTON — Under a proposal unveiled by the Clinton administration Wednesday, all Americans within five years would be able to choose which company they buy their electricity from, saving an average family of four about $232 a year.
The plan, which White House officials said will serve as a blueprint for legislation to open the $200-billion national electricity market to competition, would allow states such as California--which will deregulate its retail market Tuesday--to opt out of the federal plan.
"This proposal will provide incentives for increased efficiency in the electricity market, saving American consumers $20 billion a year and reducing greenhouse gas emissions," President Clinton said in a statement.
The proposal, which combines a free-market approach with protections for the environment, was applauded by utilities, independent power producers and electricity resellers as an endorsement of competition in the retail market. But some environmentalists expressed disappointment.