Markets we serve
Utility markets vary by state and by service type. The way your market is structured determines how you acquire services and how we support you.
Our contracting officers support agencies across all market types, including regulated, deregulated, and hybrid or mixed markets.
Regulated utility markets

Figure 1. Overview of retail regulated markets
In regulated markets, also called vertically integrated markets, one utility company provides the full service (such as generation, transmission, and distribution), within a defined service area. These utilities operate as state-regulated monopolies, with rates approved by public utility commissions to ensure reliable service and fair pricing.
What this means for your agency
- You must use the regulated utility provider
- You are required to use GSA Areawide Contracts unless you have a delegation from GSA
- Applies to electricity, natural gas, water, wastewater, sewer, and steam
How we support you
- Provide pre-negotiated areawide contracts
- Ensure compliance with federal and state requirements
- Streamline the process for connecting and servicing facilities
- Deliver stable pricing and reduced administrative burden
Learn about our available contract options for regulated markets.
Deregulated markets
In deregulated markets, also known as retail choice markets, agencies can choose their electricity or natural gas supplier. While supply is competitive, the local utility continues to handle transmission and delivery.
This structure fosters competition among suppliers while maintaining a consistent delivery system.
What this means for your agency
- You can choose from multiple suppliers instead of relying on a single utility
- Competitive sourcing can reduce costs and improve service options
- Combining your utility demand with other federal agencies can get you a lower rate by buying in bulk
How we support you
- Design and manage competitive procurements
- Conduct solicitations (including reverse auctions)
- Aggregate demand across agencies to increase buying power
- Drive competition to secure the best value
- Provide acquisition, technical, and regulatory expertise
Learn about our available contract options for deregulated markets.
Hybrid markets
Some states operate with both regulated and deregulated components. For example, electricity may be deregulated while natural gas remains regulated, or different parts of the utility system, i.e., generation vs. distribution may be treated separately.
What this means for your agency
Your acquisition approach may vary depending on:
- The type of utility (e.g., electricity vs. natural gas)
- The specific service component (generation, delivery, etc.)
How we support you
- Help you determine the applicable market structure
- Apply the right acquisition strategy for each service and location
- Guide you through complex or mixed regulatory environments