
Load Management Group
In partnership with PLMA, this group is for practitioners from energy utilities, solution providers, and trade allies to share load management expertise and explore innovative approaches to program delivery, pricing constructs, and technology adoption.
Post
Is "apportioning" energy costs the best way to go?
Is "apportioning" energy costs the best way to go?
The question stems from a very common practice in Brazil, especially in the electricity sector.
The official criterion is to apportion costs of dispatching more expensive plants "among everyone" and even "prolonging their collection through loans to the electric utilities".
The retrospect shows that this strategy results in a systemic increase in costs for everyone, and even puts Brazil as a laggard in terms of $/MWh, compared to the BRICS (Brazil, Russia, India, China and South Africa).
.
It will be worthwhile to evolve to a formulation where consumers pay the real costs. This way they will have a natural incentive to find creative/saving solutions.
We would move from a system that has always been essentially populist to one centered on efficiency. It may not be easy and simple, but it will certainly be much better in the long run.
Discussions
No discussions yet. Start a discussion below.
Get Published - Build a Following
The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.
If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.
Sign in to Participate