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The Federal Energy Regulatory Commission should encourage all potential consolidations of transmission assets. It should defer to the position of state Public Utility Commissions with respect to all proposed consolidations of distribution assets. It should take a conservative initial attitude toward all proposed changes in the structure of the wholesale market, both proposed consolidations and potential coerced divestitures. It should eliminate price controls on virtually all wholesales on an experimental basis and use the data made available by that experiment as the basis for a more refined set of policies applicable to the structure of the wholesale market in the dramatically new environment that it is in the process of creating.
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