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Even in a single example such as your electric bill, this is absolutely impossible (or, maybe with a team of statisticians and accountants working on each custo
by cool_dude85 5y ago
Even in a single example such as your electric bill, this is absolutely impossible (or, maybe with a team of statisticians and accountants working on each customer's bill each month, and of course their associated costs).
The fact is, the utility does not know how much money you cost them in a given month and it's impossible to say. Some of your electricity is being generated from a plant planned and built 40+ years ago, long since paid for. Is that electricity sold at the cost of fuel and maintenance? Electricity generated from a new plant then has a corresponding capital cost component but how's it portioned out at the customer level? What if they had to go change your transformer 20 years ago but your neighbor's still on their old 50-year-old transformer next door?
Unworkable.
- oldsecondhand 5y ago> The fact is, the utility does not know how much money you cost them in a given month and it's impossible to say. Some of your electricity is being generated from a plant planned and built 40+ years ago, long since paid for. There are generators independent from utilities, yet they figured the pricing out somehow.
- powcontech 5y agoThe pricing is sometimes based on negotiations which consider the cost of alternative sources of power, the operating cost of the plants, and refurbishments and maintenance it will need over the course of the contract term.