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LA Times did a big piece about misaligned utility incentives: http://www.latimes.com/projects/la-fi-electricity-capacity/ http://www.latimes.com/projects/la-fi-
by floatrock 8y ago
LA Times did a big piece about misaligned utility incentives: http://www.latimes.com/projects/la-fi-electricity-capacity/ http://www.latimes.com/projects/la-fi-electricity-capacity/
Basically utilities don't really make money on generation, they make money by building infrastructure, financing that with a 20-year bond, and passing it onto the rate payers. So if you make money by building power plants, you're going to build power plants and make the ratepayers pay for it.