re:...else they would not do it.
I don't know the answer to this question, but I wonder how many of the utilility companies are forced to offer pricing options by whatever utility board they have to answer to?
Since the possibility exists for them to lose money (e.g. *everyone* chooses the fixed option and prices rise) I wonder how many of the options are offered because they have to be.
**********************************************************They just buy futures to cover them if the price goes up. No risk is involved for the utility.