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To: kinoxi

Even though the electric utility would buy its own electricity back at a higher price, it is not a loss transaction for the utility. It would only buy back power to meet peak demand, for which its marginal cost is high. It would pay less to buy back stored electricity than it would cost to generate electricity beyond its peak capacity. In effect, the car owner would get paid for storing electricity, and the utility avoids expensive capital costs for capacity that would only be used, say, 5% of the time.


32 posted on 11/11/2007 8:37:57 PM PST by T Ruth (Islam shall be defeated.)
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To: T Ruth
They want to buy back they’re own juice, at a loss. 5% is an extraordinarily large number in the US. They don’t incur the cost of batteries themselves so they can continually lose money ‘if’ they get recharged from customers that already paid for their electricity. Doesn’t work in reality. Sounds like a leftist plan to me.
38 posted on 11/11/2007 8:43:57 PM PST by kinoxi
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