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by angry_octet
2319 days ago
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Depends on the state, but in Vic the 'poles and wires' component, both in distribution (suburb) and transmission (pylons) costs are built into the fee that is charged for electricity supply (cost of connectivity) in a positive feedback loop: the more the companies invested, the more they could charge. This was designed to avoid the 'run it into the ground's privatisation mentality, but it went the other way. Sadly, there was no price component for improving the network with new ideas, so it is still the same design as 100 years ago. A system designed by accountants has done things accountants love, and nothing for electrical engineering or the citizens. Surprise. The old SEC wasn't innovative or cheap, and neither is the privatised system. For incentives to be effective they have to be broken down to be smaller components rewarding specific conduct, and tweaked in response to system performance. |
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