EIF FINAL EXAM QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE 2026/2027
Static Electricity is the result of? - Answers Electrons being discharged
Alternating current was a better choice for public utilities because? - Answers It could be
stepped up or stepped down
Natural monopolies are characterized by? - Answers having exclusive multi-regional franchise in
exchange for public control of their prices
The obligation to serve is? - Answers The obligation to provide a reliable power supply.
The clean Air Act of 1970 was designed to? - Answers Phase out the use of ozone depleting
chemicals
Thomas Sprague invented the incandescent light bulb? T/F - Answers False
Prior to the invention of the electric light bulb, burning coal was the primary source of
illumination? T/F - Answers False
Pearl street station was powered by steam engines? T/F - Answers True
The invention of the transformer made providing DC power to individual customers easier? T/F -
Answers False
Holding companies were created as an attempt to benefit from economies of scale? T/F -
Answers True
Monopolies were outlawed in the U.S. be Sherman Antitrust Act of 1890? T/F - Answers True
The intent of the Public Utilities Regulatory Policies Act was to stamp out completion with utility
companies? T/F - Answers False
Natural gas often serves as the fuel source in cogeneration? T/F - Answers True
A massive blackout on the east Coast led to an examination of the reliability of the elyria grid?
T/F - Answers True
Conductor - Answers Electrons flow freely through this material
Federal Trade Commission - Answers Investigated the practices of utility holding companies
NERC - Answers Organized to ensure the reliability of the power system
Load diversity - Answers When the peak demands of a variety of electric customers occur at
different times
PUHCA of 1935 - Answers Prohibited energy holding companies from engaging in businesses
,the than the operation of a single utility
Energy policy Act of 2005 - Answers Gave NERC its power to enforce standards
Federal Power Commission - Answers Created to coordinate hydroelectric projects
Air quality Index - Answers Gauge to how much pollution is in the air in many location across the
country
Energy Policy Act of 1992 - Answers Promoted the growth of natural gas as a fuel for generating
electricity
Nuclear Regulatory Commission - Answers Oversees use an possession of nuclear material an
the management of nuclear power plants in the US
Public utilities are usually unsuited for what types of services - Answers Transportation services
Public utility service standard ensure service that is except - Answers Inexpensive
The most predominant type of utility in the United States is what type of business structure -
Answers Investor Owned
What type of utility is a non-profit entity that is publicly-owned and controlled by local
government agencies? - Answers Municipal
The type of utility organization whose customers each own a share, and receive rebates if
excess revenue is collected at the end of the year: - Answers Cooperative
What type of utility is also known as a Non-Utility Generator (NUG), and is an entity
which is not a public utility, but which owns facilities to generate electric power to sell? -
Answers Independent Power Producer
Who uses the co-production of power and useful heat from an energy source such as a
steam turbine, gas turbine, or internal combustion engine? - Answers Cogenerators
What are small power plants that generate power to resale to others through renewable
technologies such as biomass, geothermal, wind and solar? - Answers Small Power Producers
Correct
What businesses have been formed to own power generation plants and market their output
without a specific end user selected? - Answers Merchant Generators
What category of electricity consumer include the use of electricity for air conditioning and
heating, water heating, lighting, clothes washing, cooking and refrigeration? - Answers
, Residential Correct
What category of electricity consumer includes the use of electricity for retail and services,
offices, education, health care and lodging? - Answers Commercial
What category of electricity consumer includes the use of electricity for Powering
industrial facilities and equipment? - Answers Industrial
Most investor-owned utilities perform all of the following functions EXCEPT: - Answers
Consumption
Historically, utility companies were established as horizontally integrated entities. T/F - Answers
False
The primary purpose of the energy and utility industries are to provide safe, adequate and
reliable services to the public.
T/F - Answers True
The term public utility refers to the nature of the business, not to the ownership of
an organization. T/F - Answers True
Privately invested electric power companies were the earliest form of business structure for the
electric power industry. T/F - Answers True
Federal electric utilities primarily sell electricity to investor-owned utilities.
T/F - Answers FALSE
Independent power producers must use the transmission capabilities of other utilities to
transmit the power they have generated. T/F - Answers True
The primary use of petroleum energy is in manufacturing. T/F - Answers False
The burning of fossil fuels such as coal, gas and oil, is the most common method of electric
generation in the U.S. T/F - Answers True
The U.S. electric power system is an interconnection of three major systems: the Eastern
Interconnection, the Western Interconnection, and the Texas (ERCOT) Interconnection. T/F -
Answers True
Electrical transmission networks are not interconnected. T/F - Answers False
Electric Power Transmission - Answers The bulk transfer of high voltage electrical energy from
its source at generating plants to substations.
Static Electricity is the result of? - Answers Electrons being discharged
Alternating current was a better choice for public utilities because? - Answers It could be
stepped up or stepped down
Natural monopolies are characterized by? - Answers having exclusive multi-regional franchise in
exchange for public control of their prices
The obligation to serve is? - Answers The obligation to provide a reliable power supply.
The clean Air Act of 1970 was designed to? - Answers Phase out the use of ozone depleting
chemicals
Thomas Sprague invented the incandescent light bulb? T/F - Answers False
Prior to the invention of the electric light bulb, burning coal was the primary source of
illumination? T/F - Answers False
Pearl street station was powered by steam engines? T/F - Answers True
The invention of the transformer made providing DC power to individual customers easier? T/F -
Answers False
Holding companies were created as an attempt to benefit from economies of scale? T/F -
Answers True
Monopolies were outlawed in the U.S. be Sherman Antitrust Act of 1890? T/F - Answers True
The intent of the Public Utilities Regulatory Policies Act was to stamp out completion with utility
companies? T/F - Answers False
Natural gas often serves as the fuel source in cogeneration? T/F - Answers True
A massive blackout on the east Coast led to an examination of the reliability of the elyria grid?
T/F - Answers True
Conductor - Answers Electrons flow freely through this material
Federal Trade Commission - Answers Investigated the practices of utility holding companies
NERC - Answers Organized to ensure the reliability of the power system
Load diversity - Answers When the peak demands of a variety of electric customers occur at
different times
PUHCA of 1935 - Answers Prohibited energy holding companies from engaging in businesses
,the than the operation of a single utility
Energy policy Act of 2005 - Answers Gave NERC its power to enforce standards
Federal Power Commission - Answers Created to coordinate hydroelectric projects
Air quality Index - Answers Gauge to how much pollution is in the air in many location across the
country
Energy Policy Act of 1992 - Answers Promoted the growth of natural gas as a fuel for generating
electricity
Nuclear Regulatory Commission - Answers Oversees use an possession of nuclear material an
the management of nuclear power plants in the US
Public utilities are usually unsuited for what types of services - Answers Transportation services
Public utility service standard ensure service that is except - Answers Inexpensive
The most predominant type of utility in the United States is what type of business structure -
Answers Investor Owned
What type of utility is a non-profit entity that is publicly-owned and controlled by local
government agencies? - Answers Municipal
The type of utility organization whose customers each own a share, and receive rebates if
excess revenue is collected at the end of the year: - Answers Cooperative
What type of utility is also known as a Non-Utility Generator (NUG), and is an entity
which is not a public utility, but which owns facilities to generate electric power to sell? -
Answers Independent Power Producer
Who uses the co-production of power and useful heat from an energy source such as a
steam turbine, gas turbine, or internal combustion engine? - Answers Cogenerators
What are small power plants that generate power to resale to others through renewable
technologies such as biomass, geothermal, wind and solar? - Answers Small Power Producers
Correct
What businesses have been formed to own power generation plants and market their output
without a specific end user selected? - Answers Merchant Generators
What category of electricity consumer include the use of electricity for air conditioning and
heating, water heating, lighting, clothes washing, cooking and refrigeration? - Answers
, Residential Correct
What category of electricity consumer includes the use of electricity for retail and services,
offices, education, health care and lodging? - Answers Commercial
What category of electricity consumer includes the use of electricity for Powering
industrial facilities and equipment? - Answers Industrial
Most investor-owned utilities perform all of the following functions EXCEPT: - Answers
Consumption
Historically, utility companies were established as horizontally integrated entities. T/F - Answers
False
The primary purpose of the energy and utility industries are to provide safe, adequate and
reliable services to the public.
T/F - Answers True
The term public utility refers to the nature of the business, not to the ownership of
an organization. T/F - Answers True
Privately invested electric power companies were the earliest form of business structure for the
electric power industry. T/F - Answers True
Federal electric utilities primarily sell electricity to investor-owned utilities.
T/F - Answers FALSE
Independent power producers must use the transmission capabilities of other utilities to
transmit the power they have generated. T/F - Answers True
The primary use of petroleum energy is in manufacturing. T/F - Answers False
The burning of fossil fuels such as coal, gas and oil, is the most common method of electric
generation in the U.S. T/F - Answers True
The U.S. electric power system is an interconnection of three major systems: the Eastern
Interconnection, the Western Interconnection, and the Texas (ERCOT) Interconnection. T/F -
Answers True
Electrical transmission networks are not interconnected. T/F - Answers False
Electric Power Transmission - Answers The bulk transfer of high voltage electrical energy from
its source at generating plants to substations.
