Glossary of Terms

Bundled Service	The traditional grouping of electricity generation, transmission and distribution as a single service from a single company at a price approved by the state regulatory agency.
Distribution	The process of delivering electricity to homes and businesses.
Generation	The process of producing electricity at a power plant.
Independent Power Producer (IPP)	A company that generates power to be purchased at wholesale.
Investor Owned Utility (IOU)	The vertically-integrated company that provides traditional electricity generation, transmission and distribution services Its common stock is privately held.
Restructuring	"Unbundling" the traditional vertically-integrated utility monopoly structure so that customers can buy generation from competing suppliers.
Transmission	The bulk movement of electric energy; generally considered movement from the generator to the point where voltage is reduced for distribution to customers.
Unbundling	Separating the generation, transmission and distribution services of traditional full-service utilities so that customers can exercise their choice options.