Another fantastic question :) Keep 'em coming! I've made a video to walk you through "Address Component Comparison":

This is using Kickstart 2 and the demo store flat rate shipping services. You can create these as you need them for each region you want a different rate.

STEP BY STEP

1) Go to admin/commerce/config/shipping and click "Add a flat rate service"

2) Name your service "Region 1" (or whatever you want) and give it a generic title, click save.

3) Click "configure component" next to your new flat rate

4) Add a condition "Order: Address component comparison"

5) Select "Shipping" address

6) Choose from the drop down a suitable filter for your region (maybe by city or province?)

7) Click "save"

Congrats! You now have an address-aware shipping rate!

Josh