| ▲ | twunde 8 hours ago | |
Within the US, energy prices for are typically split into supply and distribution rates with taxes and fees added to each of these. There are typically a large number of these fees that are passed through to the consumer, but just are bundled together to reduce confusion. An example fee is one for keeping power plants idle as extra capacity for when it's needed. Electricity has a nationwide market with different prices for spot prices vs long term although if you are big enough you can also get a direct contract to hedge your energy supply prices. The complaint here is that PJM is spending money on upgrading the long range wires and passing that fee in a way that's not calculated for usage but instead it's likely divided evenly amongst member states. If you're upgrading wires in PA why should Maryland pay for that? These would taking in new/higher fees being passed to consumers. The long range transmission lines are different than short term transmission lines. The long range ones appear someone to hit electricity from a power plant in California for a business in Baltimore. | ||
| ▲ | londons_explore an hour ago | parent [-] | |
And the counterpoint is that for the resident of Maryland, paying a little now to upgrade long distance transmission lines will save them money in the long run, because it will allow them to benefit from cheap solar power from California in the evenings and cheap solar from new York in the mornings. More transmission = more places to find lower prices. | ||