Regulated suppliers operate somewhat differently than deregulated suppliers. 1. Regulated suppliers have rules around how much a rate can change, and those rate

Regulated suppliers operate somewhat differently than deregulated suppliers. 1. Regulated suppliers have rules around how much a rate can change, and those rate changes have to be approved by their respective PUC. This limits the sticker shock. 2. Regulated suppliers do this in exchange for a guaranteed profit for their distribution side (they have a government approved local monopoly). They also tend to be the biggest supplier since they are usually the default supplier. Because of this, these companies have both more cash on hand and more ability to borrow in case of a cash crunch caused by issues like this. They also have a tendency to be better about hedging for circumstances like this. Basically the regulated suppliers will probably see some rate increases but they will be more gradual and certainly won't be as wild as rate increases by deregulated suppliers. PS deregulated supplier is a bit of a misnomer. They are still regulated by the state Public Utility Commission, but they are less regulated than the utilities that also do distribution.