66 lines
3.4 KiB
Markdown
66 lines
3.4 KiB
Markdown
---
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layout: post
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title: The cost of power in northern California
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tags:
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- opinion
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- solar
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---
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From my perspective one of the most important steps to address climate change
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is investment in cleaner power generation. Imagine my displeasure when I
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started doing the math on some of my recent power bills. Where I live Pacific
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Gas and Electric (PG&E) is the predominant utility company but fortunately I am
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also able to purchase electricity from [Sonoma Clean
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Power](https://sonomacleanpower.org/). Nevertheless, I still receive a bill
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from PG&E which is the owner/operator of most if not all of the transmission
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and generation capacity in the region. In Northern California there is no love
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lost for PG&E, which has been found responsible for negligence leading to
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numerous wildfires, gas pipeline leaks, and explosions. Much of this negligence
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has been due to postponing of forfeiting maintenance in order to recognize
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higher profits. To add insult to injury, it seems like they skim a healthy
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margin off of residential producers/consumers as well.
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In 2019 I installed solar panels on my roof, and then waited for over six
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months for "permission to operate" because the transformer the house connects
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to was too old. That's another story, but a common one among a long list of
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deferred upgrades by the company. Once we gained permission to operate, our
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rate plan switched over to "time of use" with [Net Energy
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Metering](https://news.energysage.com/net-metering-2-0-in-california-everything-you-need-to-know/).
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In essence, I pay a variable energy price depending on pre-set off-peak and
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peak energy rates, and my solar generation can offset the cost of non-solar
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power used.
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This "time of use" type plan has [rates
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defined](https://www.pge.com/en_US/residential/rate-plans/rate-plan-options/time-of-use-base-plan/time-of-use-plan.page?)
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for winter and summer periods. The current summer rates for me result in **$0.35**
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per kilowatt/hour (kWh) off-peak, and **$0.42** per kWh during the peak period from
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4pm to 9pm.
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It is quite obvious why peak power costs more, there's a *lot* more demand in
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the summer afternoon for air-conditioners, etc. I would hazard a guess that the
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peak doesn't start earlier because of a surplus of solar power as the sun is
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directly overhead from 12-2pm.
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The power generation prices that **I** am paid however for generation are
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**$0.07** for off-peak and **$0.13** for peak generation per kWh. That means I
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have to generate _three times more power_ during peak and _five times more
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power_ during off-peak in order to break even.
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I am a retail consumer of electricity but a wholesale producer.
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---
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In 2020 California's largest production of electricity was from natural gas
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power plants [according to a California Energy Commission
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report](https://www.energy.ca.gov/data-reports/energy-almanac/california-electricity-data/california-electrical-energy-generation).
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photo-voltaic solar (panels) were the _second_ largest class of electricity but
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only produced 1/3 as much energy. California imported almost as much from other
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states as our own natural gas facilities produced, 81gWh compared to our 92gWh.
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In my opinion solar and wind production need to grow and the best way to
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encourage that behavior is with better rates for clean energy production and
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poorer rates for carbon-producing ones. The California Public Utilities
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Commission has the power to influence this behavior, but who knows whether
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they're willing to step up.
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