Local power distribution, where rail service is available, is more efficient and allows city managers to develop greater understanding of power usage of their residents across the county. Without the need for large distribution, you don't clutter the landscape with transmission towers nor need to deal with loss and other interference.
If you lay natural gas lines with road ways, you may also be able to do gas-turbine electrical generation without rail service.
Further, it allows the development of better power generation facilities as there are more of them. That mean greater diversity and experimentation.
Tesla style wireless power distribution probably not going to work: the energy dissipates with the cube of distance. Sorry conspiracy theorists...
Costs should be $2kwh. Ask someone to self-generate a kilowatt of power for one hour and how much they'd have to be paid.
A giant consideration for all involved, whether enviromentalists or capitalistic is what is the energy being used for? Heating and A/C costs are handled by smaller houses with logarithmically less insulation and H/AC requirements as cubic space gets smaller. Ovens can be downsized to counter-top models to heat less volume (=less "cooking" time) and utilize radiant, convection, and air-conduction heat.
Small utilization appliances (less than 10% duty-cycles) like washers and dryers, large ovens, large-screen televisions and home theatre options are best left to shared community spaces or taken off the table all together.
That leaves refrigeration. Foam-core refrigerators and vacuum-glass fronts are decent options for efficiency.
Home energy consumption should get reduced by 50% in the next 5-10 years.