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> Really, people in AU don't pay 14$ per kWh making 14$ per MWh meaningless. Agreed that consumers don't pay wholesale pricing - but disagreed it's meaningless
by Jedd 8y ago
> Really, people in AU don't pay 14$ per kWh making 14$ per MWh meaningless.
Agreed that consumers don't pay wholesale pricing - but disagreed it's meaningless. Consumers do (of course) end up paying an amount that includes the amortised cost of wholesale power over the course of their contract.
Additionally, there are a range of incentives that result from these kinds of significant, if ephemeral, variations in wholesale pricing. Some of these incentives are bad for consumer, planet, etc.
> They are really paying to keep generating capacity online not for actual power. A backup generator that's never used costs infinite dollars per W, that does not make it useless.
A backup generator that's never used actually is useless.
- Retric 8y ago> A backup generator that's never used actually is useless. Having a backup generator for your data-center means you can have less batteries. Even if you never directly use it you are benefiting by reducing overall capital costs while still mitigating the same risks. Put another way owning a generator can provide a revenue stream because you can sell that risk reduction to someone else. That's not a theoretical benefit that's cold hard cash.