Is there a reason why utilities companies have a monopoly? they seem to be the only companies that offer.?
utilities: electric, etc.
Answer:
Because they either laid down the infrastructure to get the services to the houses or they aquired the company that did.
It costs millions to run power lines, gas lines etc plus you have to rip up peoples yards. So most people dont want that and most companies dont have the financial resources to spend to lay new infrastructure.
It's because of the infrastructure cost. Let's say there were two electric companies. Two power plants will need to be built and two sets of electrical grids have to be set up. This extra cost would be passed to the consumers which would mean people would be paying more and not less for their electric bill.
It's worth noting that at least in the United States many of the technologies and customs have changed. The way it works now, in general, is that the firms that supply the local distribution infrastructure charge a fee for the maintenance of their wires or pipes, and it's always been this way. But nowadays the supplier of the natural gas or electric power or long-distance telephone service supplied over those lines can often be chosen by the customer.
One major exception seems to be water: this always seems to be a monopoly, probably for safety reasons.
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