Earlier quoted context omitted.
The utility market moved towards a regulated model in the very early days of electric and gas transmission. There were lots of really good reasons for this around safety, universal service and public good. Most states today have a model where delivery is tightly regulated, but electricity generation is a competitive marketplace. At the end of the day the government exists to serve the public interest.
Correct me if I'm wrong (because I'm not very familiar with this issue), but I gather that the tightly regulated part - power transmission and distribution - suffers greatly from decaying infrastructures due to lack of investment and maintainance. It seems to be at the brink of collapse in some places. I'm not against government regulation of essential infrastructures, but we should be aware of the fact that it's ver…
I think that any capital intensive infrastructure becomes more difficult to manage effectively as it ages. Even relatively rich and well maintained infrastructure like the US Interstate system has severe design flaws (35-year lifespan bridges that are 40 years old) that make life more complicated.
Is that a regulatory problem? I don't think so.