Deregulation of the electric utility business could cut consumer bills anywhere from 10 percent to 26 percent, various studies demonstrate. The idea is to generate competition in the industry by allowing purchasers of electricity a choice of suppliers.

Private electric companies now provide some 75 percent of the nation's power.

• Some Illinois and New Hampshire consumers are already realizing savings of up to 15 percent by picking and choosing among a host of competing suppliers.

• Six other states have mandated electric utility competition.

• For the nation as a whole to benefit, Congress would have to act -- deciding, among other things, what to do about so-called "stranded" costs, debts of as much as $200 billion run up by inefficient power plants.

• At present, special federal loan rates and tax exemptions worth about $9 billion a year skew electric markets -- benefiting a few regions with electric rates 20 percent to 50 percent below those prevalent in the rest of the country.

Senators from subsidized states are said to dominate committees which will begin to consider reforms on Thursday. But few economists see any attractive alternative to deregulation, which will result in greater efficiencies and lowered costs -- benefiting both businesses and consumers.

Source: Editorial, "Consumers' Lower Electric Bills Hinge on Congress," USA Today, March 7, 1997.