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But, as I understand it, most energy markets in the US and internationally are not commodity markets: they're regulated monopolies, often with a certain regulat

But, as I understand it, most energy markets in the US and internationally are not commodity markets: they're regulated monopolies, often with a certain regulated maximum rate of return. I would think that these monopolies can use the data that they themselves collect: they have to in order to plan and to supply the power to the grid on a cycle by cycle basis. Isn't this true? But even if it's not, I personally, along with other members of the public, can access historic clearing prices in several day and hour ahead markets (e.g. Midwest, Texas, etc.) Surely I'm allowed to use that data. And it seems to me that this is the important data -- unless one wanted to use metering data to do price discrimination, which the law already protects against. But even ignoring that... I don't know of any other such regulations on commodity markets. Can you think of any?

sophacles 17y ago
The regulated monopolies are on the distribution end, not on the generation end. The generation end is hour- (and day-) ahead markets. The data in question -- metering data in this discussion, is enough to do price fixing. Those utilities with distribution divisions gain enough of an edge over those who don't to gouge consumers and go all monopolistic competition on thier competitors at the same time. Both of which are actions that break market efficiency. As for other commodity markets, im not super familiar with them, but I know in general price fixing and insider trading is illegal -- for good reason. Also an interesting observation on electricity is that it is far more "ideal" than a lot of commodities, in that there is absolutely no way to distinguish between generator A electricity and generator B electricity (unlike say... corn). There is also not nearly the consideration about movement involved -- Put it on the wire and the whole system adjusts accordingly (this is a physics thing more than a "good system" thing (mostly, but the system is good too)).

sophacles 17y ago

The regulated monopolies are on the distribution end, not on the generation end. The generation end is hour- (and day-) ahead markets. The data in question -- metering data in this discussion, is enough to do price fixing. Those utilities with distribution divisions gain enough of an edge over those who don't to gouge consumers and go all monopolistic competition on thier competitors at the same time. Both of which are actions that break market efficiency. As for other commodity markets, im not super familiar with them, but I know in general price fixing and insider trading is illegal -- for good reason. Also an interesting observation on electricity is that it is far more "ideal" than a lot of commodities, in that there is absolutely no way to distinguish between generator A electricity and generator B electricity (unlike say... corn). There is also not nearly the consideration about movement involved -- Put it on the wire and the whole system adjusts accordingly (this is a physics thing more than a "good system" thing (mostly, but the system is good too)).