The simple act of walking
into a restroom, turning on the light, and washing your hands,
uses the products of perhaps four different utilities.
Electricity powers the light, water supply systems provide water
for washing, wastewater treatment plants treat the sewage, and
natural gas or electricity heats the water. Some government
establishments do the same work and employ a significant number
of workers; however, information about them is not included in
this statement. Information concerning government employment in
utilities is included in the Career
Guide to Industries statements
on Federal Government and State and local government, except
education and health. Each of the various segments within the
utilities sector is distinctly different.
Electric power generation,
transmission, and distribution. This
segment includes firms engaged in the generation, transmission,
and distribution of electric power. Electric plants harness
highly pressurized steam or some force of nature to spin the
blades of a turbine, which is attached to an electric generator.
Coal is the dominant fuel used to generate steam in electric
power plants, followed by natural gas, petroleum, nuclear power,
and other energy sources. Hydroelectric generators are powered
by the release of the tremendous pressure of water existing at
the bottom of a dam or near a waterfall. Scientists also are
conducting considerable research into renewable sources of
electric power—including geothermal, wind, and solar energy.
Natural gas distribution.
Natural gas, a clear odorless gas, is found underground, often
near or associated with crude oil reserves. Exploration and
extraction of natural gas is part of the oil and gas extraction
industry, covered elsewhere in the Career
Guide to Industries. Once found and
brought to the surface, it is transported throughout the United
States, Canada, and Mexico by gas transmission companies using
pressurized pipelines. Local distribution companies take natural
gas from the pipeline, depressurize it, add its odor, and
operate the system that delivers the gas from transmission
pipelines to industrial, residential, and commercial customers.
Industrial customers, such as chemical and paper manufacturing
firms, account for more than a third of natural gas consumption.
Residential customers who use gas for heating and cooking,
electric utilities, and commercial businesses—such as hospitals
and restaurants—account for most of the remaining consumption.
Water, sewage, and other systems.
Water utilities provide about 100 gallons of fresh, treated
water every day for each person in this country, or close to 40
billion gallons per day nationwide. Water is collected from
various sources such as rivers, lakes, and wells. After
collection, water is filtered, treated, and sold for
residential, industrial, agricultural, commercial, and public
use. Depending on the population served by the water system, the
utility may be a small plant in a rural area that requires the
occasional monitoring of a single operator or a huge system of
reservoirs, dams, pipelines, and treatment plants, requiring the
coordinated efforts of hundreds of people. Sewage treatment
facilities operate sewer systems or plants that collect, treat,
and dispose of waste from homes and industries. Other utilities
include steam and air-conditioning supply utilities, which
produce and sell steam, heated air, and cooled air.
Utilities and the services they provide are so vital to everyday
life that they are considered ?public goods? and are typically
heavily regulated. Formerly, utility companies operated as
?regulated monopolies,? meaning that in return for having no
competition, they were subject to control by public utility
commissions that ensured utilities acted in the public interest
and regulated the rates they were allowed to charge. However,
legislative changes in recent years have established and
promoted competition in the utilities industry. The electric
utilities industry, for example, is currently restructuring in
an effort to promote efficiency, lower costs to customers, and
provide users with an increased number of service options.