There is weekly, if not daily, chatter about the end of the monopolistic electric utility systems we have today. They call it the utility death spiral, and it goes like this: Distributed generation, also known as DG, which includes rooftop solar photovoltaic (PV) systems will compete directly with utility power. Utilities are stuck with fixed rate base for which they need to be paid through purchased energy from customers. Photovoltaic may produce competitively-priced energy for some customers after the bevy of incentives and tax breaks. Home-generated electricity drives down the utility’s revenue. Utility raises prices to cover their fixed cost.…
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