3 ms·
They kind of are like this: there are real-time electricity markets in the US. One issue is that a lot of demand is inelastic because price signal transmission
by dpierce9 11y ago
They kind of are like this: there are real-time electricity markets in the US. One issue is that a lot of demand is inelastic because price signal transmission is very hard. Grandmas don't want to be adjusting their Air Conditioner on a second-by-second basis due to price fluctuations. Utilities effectively buffer this movement by aggregating demand and purchasing enough to meet that demand.
- toomuchtodo 11y ago> Grandmas don't want to be adjusting their Air Conditioner on a second-by-second basis due to price fluctuations. Utilities effectively buffer this movement by aggregating demand and purchasing enough to meet that demand. This is how Nest makes money. They serve as demand response. You sign up to get a credit on your electric bill, and when demand is extremely high, a utility can signal to Nest to reduce demand for 15 minute increments; its cheaper than firing up a peaking natural gas plant. https://nest.com/energy-solutions/#demand-response https://nest.com/energy-solutions/#demand-response