For 50 years ending in 2000, electrical loads in the United States expanded at an average of 5.1% per year. For the next 20 years, the growth was essentially zero. Projections for the coming five years are roughly 1% per year (compounded annual growth rate, CAGR). Although that is far from 5% CAGR, it is more than zero, and considering construction of everything from generation to transmission lines is on the decline, something must give. For example, transmission line construction fell from 4,000 miles per year in 2013 to less than 1,000 miles from 2016-2020 to a measly 55 miles…
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“Americans used to spend little energy worrying about whether the lights would come on at the flick of a switch, or how much that electricity cost. For a growing number of people, those days are over.” Those are the first two sentences of an article published in The Wall Street Journal last week, Get Ready to Pay More for Less-Reliable Electricity. Other nuggets from the article: Customers of the largest 17 utilities in the country are bound to see electricity prices outpace the consumer price index through 2030. Over the ten years ending in 2022, outages increased by 20%. The…
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