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Presumably companies that supply carbon free energy still get paid only when they actually supply energy. Even though they may not have to purchase fuel they wo
by generatorguy 7y ago
Presumably companies that supply carbon free energy still get paid only when they actually supply energy. Even though they may not have to purchase fuel they would still make no money and have all of their operating costs. I don’t see why the effect of reduced demand on those generation companies wouldn’t be the same as the price or electrical energy went to zero - unless rate payers have taken on all the risk and pay whether or not any energy is generated.
- dv_dt 7y agothe unit price per mile of use is much lower and will have a lower magnitude of impact on the economy, similarly the impacts on the producers will be smaller and buffered by home electric use (which probably goes up in a case like this)
- generatorguy 7y agoAh I didn't understand that a "no carbon grid" meant using electricity for transportation and was just thinking in terms of reduced demand for electricity regardless of whether the source was renewable or not.