Editing Vertical integration (section)

=== Electric utilities ===
Before a wave of [[deregulation]] at the end of 20th century, most electric utilities were vertically integrated and provided [[electric generation]], [[Electric power transmission|transmission]], [[Electric power distribution|distribution]], and sales. These were not just conglomerates with a common accounting department: there was just one [[profit center]] in sales, and costs of transmission and distribution were not separated. Partial deregulation in the US in 1978 ([[PURPA]]) forced the utilities to buy electricity outside if the rates were competitive; this gave rise to [[independent power producer]]s. The other deviation from the vertical integration model were [[local distribution company|local distribution companies]] in some towns and regions. In the US 250 vertically integrated companies provided 85% of electrical generation.{{sfn|Willis|Philipson|2018|pp=12-14}} As of 2022, this "public utility" model was still utilized in some US states, mostly in the [[Mountain states|Mountain West]], [[Great Plains]], and [[Southeastern United States|Southeast]].{{sfn|Aagaard|Kleit|2022|p=84}}