1. What is public power?
"Public Power" is the term used to describe not-for-profit publicly owned electric utilities that are operated by a municipality, county, state, or other public body such as a public utility district. Public Power systems are directly accountable to the people they serve. Private Power sells electricity to make a profit. Profits go to stockholders all over the country. Public power systems are not run to make a profit. All the benefits from public power stay at home in the form of lower rates, improved services, and other community contributions. Public ownership of a utility is like owning your own home. Private ownership is like renting it.

2. What are the benefits of public power?

• Lower rates.
• Efficient service.
• Local control.
• Commitment to conservation, safety, and the environment.
• Economic development.
• Competition.

3. How do rates compare?
Public power rates, on a national average, are much lower than rates of private power companies. Residential customers of a private utility pay 30% more than public customers and the average private commercial/industrial customer pays about 10% more than a public customer. This difference has been steady for about the past 50 years.

4. Why are public power rates lower?

• Public power leads the industry in providing efficient, low-cost electric service.
• Public power systems are not-for-profit and do not pay dividends to outside stockholders.
• Public power systems are more efficiently managed than private companies averaging about 10% less in administrative and general expenses.
• Like other local government services, not-for-profit public power systems do not pay federal income taxes.
• As not-for-profit government operations, public power utilities can issue tax-free bonds for capital expansion, which provide financing at a lower cost than taxable private corporate bonds.
• Public power systems have relatively more access than do private power companies to low-cost hydroelectricity marketed by federal and state agencies at cost-based prices. The power from these publicly owned projects is sold first to not-for-profit, consumed-owned utilities.

5. What are the other economic benefits of public power?
On a national average, public power systems pay proportionately more of their annual gross electric revenues to the communities in which they operate than do private companies. Payments may be in the form of taxes, tax equivalent or in-lieu-of-tax payments, direct transfers to general funds, or contribution of services. Public power systems also play a major role in promoting overall community development. For example, low-cost electric service is an inducement to new business and industry, which broadens the tax base and crates more jobs and local income.

6. What are the national economic benefits of public power?
Public power competition gives state and federal regulation more muscle and provides a constant "yardstick" by which to compare private company rates and service. Time and again, private companies have lowered rates or granted concessions to customers when confronted with citizen or local government interest in the public power option.

7. How is public power responsive to its consumer-owners?
Consumers set the pace for public power policy making. Policy board meetings are open to the public and consumers have a direct voice in expressing their goals and priorities for the community and its electric utility.

8. How are public power systems regulated?
Public power systems are regulated by their consumer-owners through locally elected or appointed officials. In a few states (such as New York), public power is regulated by state utility commissions. Some city councils govern their utilities, others are governed by an independent elected or appointed utility board such as the Jamestown Board of Public Utilities. In any case, they are accountable to the citizens they serve.