undefined | Better HN

0 pointslondons_explore3y ago0 comments

Another option is to split the fee into a 'connection fee', 'transmission fee' and a 'power fee'.

Have the power fee set realtime by a market. The price might go to zero if there is excess generation.

Have the transmission fee capped by a regulator - and charge it for any kilowatt hours that enter the power network.

Allow third parties to arbitrage and offer 'fixed rate' deals, so consumers aren't at the whims of an electricity market with occasional sky high prices.

0 comments

eppp3y ago

Congratulations you invented Enron.

1 more reply

Ekaros3y ago

Finland uses this model. Though the capping of transmission fees is bit iffy.

And lately the fixed rates have been quite variable going from 4 cents to 40 cents. The action by European countries caused some uncertainty. So timing has great effect.

sandos3y ago

This is sort of how it works in Sweden and probably a few other countries.

Bill is split into market and (local) grid parts. Many consumers have now moved the market parts to realtime pricing, since fixed-price arbitraging has become so expensive.

j / k navigate · click thread line to collapse