Posted on 08/29/2022 7:10:48 AM PDT by brookwood
The price of wholesale electricity has a “futures” market. Companies are paying now to lock in their energy costs next winter. In the UK the cost for electricity in December 22 has risen to 1,000 British pounds per megawatt hour which is about $1.20 per kilowatt hour. This is 6 times the average price in the US.
(From the article) : ” The price of wholesale electricity has a “futures” market.
Companies are paying now to lock in their energy costs next winter.
In the UK the cost for electricity in December 22 has risen to 1,000 British pounds per megawatt hour which is about $1.20 per kilowatt hour.
This is 6 times the average price in the US.”
dynoman : ” This is coming to the US too. We can't shut down 100GW of reliable 24/7/365 baseload power to sacrifice on the altar of unreliable so called “sustainable” energy
without there being the exact consequences described in the article.
Those of us with 40 years in the power industry aren't surprised at all. “
BobL : ”Most of the US pays about 12 cents, until the midterms, then we’ll see similar numbers. “
brookwood : " .. Right now we pay about 20 cents per kilowatt hour.
If we had to pay the same rate as the forward price in the UK that would mean in most northern states the monthly cost for heat would be about $5,400.
Compare that to your rent."
( My Comment): Now imagine that you had just purchased that $63,000 electric car to save money on fuel.
It's not so efficient now, is it ?
All of these insults to common sense result from government controlled decisions which cause other forms of power generation to be totally ignored.
The result of these decisions will be planned chaos ;
this isn't just accidental !
Huntsville Utilities. I figured wrong. It’s 12.9/kwh. I thought the 7.7 sounded rather low.
They better root for some global warming!
I lived in England in the early 80’s. Electricity was so expensive that heating of materials like rocks in the attic to warm the house all day was common. By evening the rocks were cooled off. We had insulation on the windows not being used. The houses were poorly insulated too.
TIK—
I repeat myself, but I repeat myself about residential solar power:
This potential killer spike in electricity rates was one of the 2 major drivers for our investing in residential solar power early last fall.
Our base power rate just got hit with a 26 % increase. We are largely insulated from that because we OWN the ability to produce over 70% of the power we currently use, and 100+% of the power we could live on if we had to.
The second reason is that the system will operate when the grid is down.
I wasn’t too concerned with 2021 economics; rather I was looking at future trends and what these idiots will do to us.
There’s still time to get a system in this year and claim the 30% ITC.
Do.It.Now.
One advantage to solar not often mentioned is that the cost of the system must be added to the value of your home, dollar for dollar, for the purpose of an FHA appraisal. At the same time, in my state at least, it cannot be added to the home's value for tax purposes.
Those blindly following the “green steal” fall into the “they know not what they do” category.
“Solar Power” = “solar power loans”. Sorry.
I understood the role of applying the ITC to buying down the early parts of a solar loan. We went the ‘investment loan route, and will have it paid off in 10 years.
A lot of folks don’t pay attention/ ask enough questions and get burned by the ITC number AND the low payment, without understanding the relationship between the two.
Ours is a ‘forever’ home that will be passed to our children. So increasing the sale value is not in our target zone. But it’s a nice feature. When a ‘conventional’ home of equal size has a $350 summer electric bill, and ours is less than $50, THAT could sway the sale should it ever come to selling.
I knew what you meant.
This was because over the last two years the price of natural gas has gone up so much. Natural gas is where Eversource was getting the fuel to make electricity.
You see electricity does not just come out of thin air and fairy/pixie dust. It has to be created. At least that is what Newton said , I think.
Thanks for the ping. So our price will go up after the midterms. Ok.
I’d name Carnot and Clausius, but close enough.
Going back to coal oil lamps and coal burning stoves.
The environ-MENTAL-ists are horrible. Look for mucho use of space heaters and heavy clothing and blankets, and more pensioners (as they call ‘em in the UK) freezing to death.
>”While we can blame Russia for the current gas supply problems, the real cause of this looming disaster has been the government enforced shutdown of most of our coal generating capacity during the last decade:”
Thanks, Obama!
I did as well, we had gas central heating for the radiators in each room and a gas fire in the downstairs living rooms. I had to fit all these myself, when I bought the house it just had coal fireplaces in the downstairs and nothing upstairs. house was built in about 1920, I fitted dual pain windows as well, but it was still drafty.
That’s the problem. They want to force a decades-long change (if it’s even necessary) upon us in a matter of years. It won’t end well.
It’s one of the reasons I moved to Florida: the winters are mild enough that I don’t risk freezing to death when the scheduled power outages start.
It would appear so ! Inflation is an ever growing monster, and remains untamed !
Probably not as much, nor as fast, as energy starved UK
Nonetheless, our GRID structure is inadequate for the energy need we have right now,
and with additional battery drain on the already weakened and conjured system we have now,
there is a possibility of electrical collapse, and right now neither the government nor utility companies are willing to upgrade or protect the system we have.
We don't even have the capacity to replace our electrical transformers in this country, nor do we have a supply in reserve
We custom order transformer replacements from China, and there is already a full year backlog.
The "Ten Days of Frozen Texas" is a harbinger of what could happen in the future when equipment isn't adequately maintained or protected.
Is that all? I thought there was a crisis. That’s only 13+ times more than I pay at retail. Go woke and neocon and go broke.
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