The problem is, the government always steps in and grants a monopoly before a natural monopoly develops by itself, thereby creating a self-fulfilling prophecy.
Maybe a natural monopoly would not have developed statewide. Maybe the government makes a bad situation worse by picking the wrong winner before the market decides. Maybe the government should allow competition if cities and/or private businesses are willing to give it a shot -- it works pretty well where I live.
I agree that municipalities should be given latitude to attempt to replace statewide utilities. But they should have some quality standards -- you would not want a rinky dink WISP with an invisible privacy record managing the internet access for schoolchildren.
Maybe a natural monopoly would not have developed statewide. Maybe the government makes a bad situation worse by picking the wrong winner before the market decides. Maybe the government should allow competition if cities and/or private businesses are willing to give it a shot -- it works pretty well where I live.