The utility is governed by residents of the community who are customers of the utility and are thoroughly familiar with its operations and services. If a customer has a complaint, he or she doesn't have to take it to an agency in St. Paul. The customer can discuss the problem locally, with another member of the community, and be assured that the problem will be addressed. This disparity of interests has given rise to a complex system of regulation of privately-owned utilities. This extensive level of regulation is unnecessary when the utility is publicly owned, and operated for the benefit of the community it serves.
Municipal utilities serve as an engine for economic development.
The excellent rates and quality service offered by municipal utilities are a big advantage for the community in attracting and retaining commercial and industrial customers. Municipal utilities also make payments in lieu of taxes to the city. These payments are similar to the tax payments that would be made by a private utility. On average, municipal utility rates are lower than those of other utilities. Lower rates means more dollars available to spend on other goods and services, which boosts the local economy.