"The system of democratic regulation of privately owned utilities that has evolved in the United States over the past century includes five main elements: participation; transparency; a standard of justice and reasonableness; protection against confiscation of utility assets; and prices that are related to costs. After setting these elements forth and explaining how they are balanced, we describe how the system failed in a series of relatively small but highly visible experiments with deregulation in California and elsewhere in the US. Finally, we outline the history of how democratic regulation evolved in the US and how democracy is reversing the failed experiment with deregulation in California. "

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