Abstract: One of the main objectives of price regulation that the government imposes on monopolistic industries is to restrain their monopolistic power in pricing. With cluster analysis this paper assesses the policies of price regulation in China＇ s electricity sector with regard to their effects on restraining monopolistic behaviors,and the cost-profit ratio rankings of electricity sector in all industrial sectors are used as the indicators in this analysis. Conclusions in this paper confirm the effects of price regulation in China＇ s electricity sector and provide valuable experience for the price reform in electricity sector and other monopolistic industries.