Electricity Restructuring: 2003 Blackout Identifies Crisis and Opportunity for the Electricity Sector

The August 14, 2003, electricity blackout--the largest in the nation's history--affected millions of people across eight northeastern and midwestern states as well as areas in Canada. The blackout intensified concerns about the overall status and security of the electricity industry at a time when the industry is undergoing major changes and Americans have a heightened awareness of threats to security. Because of these widespread concerns and the broad institutional interest of the Congress, we (1) highlighted information about the known causes and effects of the blackout, (2) summarized themes from prior GAO reports on electricity and security matters that provide a context for understanding the blackout, and (3) identified some of the potential options for resolving problems associated with these electricity and security matters.