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Jane Flegal argues industrial electricity rates are lower because factories are…

2026-03-12 · 15:58 UTC ·@1reluctantcog ·0 min read

Brief

Jane Flegal is praised here for pushing back on proposals to equalize electricity prices across customer classes. Her argument is that industrial customers are structurally cheaper to serve, so flattening rates would backfire: factories would leave the grid for behind-the-meter generation, and households would be left with less subsidy support and a weaker tax base.

Why it matters

Jane Flegal argues industrial electricity rates are lower because factories are cheaper for utilities to serve, not because regulators favor industry.

Key details

  • Flegal claims forcing equal per-kWh pricing across industrial and residential customers would push industry to generate power behind the meter instead of buying from the grid.
  • Her stated consequence is that residential customers would lose both the existing cross-subsidy from industrial load and the associated local tax base, worsening the affordability problem.
Source evidence

title: @1reluctantcog: Shout out to Jane for fighting the good fight on behalf of sanity and reason amidst increasingly unh...
author: @1reluctantcog
contenttype: tweet
publication: Twitter/X
published: 2026-03-12T15:58:38+00:00
sourceurl: https://x.com/1reluctantcog/status/2032124115419640152

word_count: 71

Shout out to Jane for fighting the good fight on behalf of sanity and reason amidst increasingly unhinged electricity policy conversation!

Jane Flegal (@JaneAFlegal)

I don't like this. Industrial rates are lower bc factories are cheaper to serve, not bc regulators like them. Force equal per-kWh pricing & industry goes behind the meter. Residential customers lose both the cross-subsidy & the tax base. This makes the underlying problem worse!

— https://nitter.net/JaneAFlegal/status/2032116910905557427#m