What is the difference between a regulated and an unregulated utility?

In Washington, utilities are the companies that provide energy and services such as water, electricity, and natural gas. There are two main types of utilities: regulated and unregulated. Regulated utilities are those that operate under the rules and regulations of a state or federal agency. In Washington, the Washington Utilities and Transportation Commission (WUTC) is the primary agency that regulates public service companies in the state. It sets rates of service, monitors safety and performance, and investigates consumer complaints. The WUTC also serves as a mediator between consumers, businesses, and utilities. Unregulated utilities, on the other hand, are those that do not need to abide by the same regulations as regulated utilities. These utilities are typically smaller companies that do not have to adhere to the same regulations. This means that these companies are able to set their own rates for services, and may offer services that regulated utilities cannot. Additionally, unregulated utilities are not subject to the same safety and performance standards set by the WUTC. Overall, the main difference between regulated and unregulated utilities is that regulated utilities are subject to certain laws and regulations set by the state, while unregulated utilities are not. Both types of utilities provide important services, however, and it is important to understand the differences when deciding which type of utility to use.

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What is the difference between a regulated and an unregulated utility?

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