08 Jun '11, 3pm

Who Gets Hurt in Peak Power Pricing?

Who Gets Hurt in Peak Power Pricing?

San Francisco--Utility bills will likely rise over summer months under dynamic pricing programs for electricity, but the overall impact on most people over the course of a year will be fairly contained. "98 percent of customers would see a gain or loss (in the size of their annual utility bills) of less than 20 percent," said Severin Borenstein, the Co-Director of the Haas School of Business at UC Berkeley, who conducted an analysis on the impact of different pricing programs, during a forum at the California Public Utility Commission. Borenstein essentially created three hypothetical utility programs. In the first, consumers paid a flat rate of 16 cents per kilowatt hour. In the second, consumers participated in time-of-use pricing program where prices varied from 12 cents in the dead of winter to 39 cents in peak power periods. In the third, consumers were under a critic...

Full article: http://www.greentechmedia.com/articles/read/who-gets-hurt...

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