3 ms·
I'm a bit suspicious in the US that rates are higher where per capital consumption is lower. And probably also depends on max vs average usage. In practice capi
by Gibbon1 3y ago
I'm a bit suspicious in the US that rates are higher where per capital consumption is lower. And probably also depends on max vs average usage. In practice capital costs of both generation facilities and distribution are being rolled into the rate part of peoples bills.
Consider California is using probably 25GW today. But has 50GW of capacity which has to be paid for whether it's operating or not. Also uses half as much per capita as other states. Stands to reason capital costs will be a higher proportion of the bill.
A bet I'd make is as people switch to heat pumps and electric cars consumption will go up and maybe rates will drop.