Remember the Summer Inferno of 2011? Sure you do! It was the Hottest Summer of All Time! And then our electricity industry asked us to cut back the air conditioning, or else the grid would go down, and it would be 110 degrees even inside our refrigerators.
It became clear that our deregulated electricity industry offers big incentives for people to generate more electricity during those emergencies (in the form of very high market prices,) but hardly any incentive for people to conserve. (Since most people pay the same electricity rate for electricity used during a heat wave or in the middle of a cool night.)
Find the full article at the Dallas Morning News (subscription needed).
Is a policy analyst consultant for TCAP, a coalition of political subdivisions in Texas that purchase electricity in the deregulated market for their own governmental use. Because energy costs are typically a significant budget item to our members, TCAP is consistently looking for ways to save our members money, through cost-saving contracts, energy efficiency or demand response programs.