Power companies average things out.
Now some customers specifically ask to pay the instantaneous price, and those people just turn things off. This has the advantage that you end up paying less during times if low demand.
this post was submitted on 12 Jul 2024
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Hopefully getting their own solar panels
I hear you, but a solar set up with batteries for a house in TX is often well over $100K. It's not easy for most of us to pull that off, even with financing. And it's not an option at all for renters.
$100k
that’s ten times what it costs to install domestic solar, battery storage across all of Europe including major cities. Why is it so expensive? Panels are ~$200 each online and an inverter is $5k for a really good one.
A quick google search shows prices more in line with my expectations (sources: https://www.forbes.com/home-improvement/solar/solar-panel-costs-texas/ and https://www.energysage.com/local-data/solar-panel-cost/tx/)
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I live in Texas. Our electricity delivery is quite complicated. I moved here from California where our only choice was to have PG&E or no power. We paid what they told us to pay, and we said, "thank you." It was simple. But in Texas, you have different choices for power companies. Where I live, I have about a dozen or so choices for companies, and each one has multiple pricing schemes. So you could have a pricing scheme that is a flat rate, or you could have ones that have time-based tiers, or usage tiers, etc. I'm sure someone offers a pricing scheme that roughly follows the market prices, but honestly you'd be dumb for choosing that one. Most people go with tiered usage ones because they appear to be the lowest prices. So you pay based on how much you use, but the more you use, the more you pay.
I have solar panels, and when choosing a power plan that works best for that, I did see many that purchased your excess power based on the market price. Usually it was like some percentage of the market price, not 100%. However I ended up going with a time-based pricing scheme where my power is free between 9 PM and 7 AM, as my solar panels and batteries cover me for the rest of the time. I essentially pay nothing for power, and I have an electric car, electric dryer, and electric oven.
I live in California, and I’ve been on SDG&E, PG&E, and SoCal Edison, and they all work the same as what you’re describing, with multiple different pricing schemes depending on usage and hours. Wherever you live in California, you usually only have one company to choose from, but I’ve never had only one plan to choose from. Maybe you lived in a very niche part of California, but that’s definitely not how it works in San Diego County, Riverside County, Santa Clara County, San Mateo County, or Alameda County.
As far as solar, that’s the same everywhere. My dad is on SDG&E, and he sells his solar back to the grid when he doesn’t use full capacity.
In my thirty six years in California, I’ve experienced a handful of blackouts. The last one was in 2012. How often does Texas have blackouts? I remember most of the state going dark just a few years ago. And now again. It may not be all of the state, but it’s enough that it’s newsworthy.
I live in Texas and lose power for more than a day 2-3 times a year. It's July and I've already lost power (for more than a day) at least 3 times this year so far. Generators are extremely common here. Newcomers learn that lesson the hard way.
Sometimes it's only out for a day and sometimes it's out for 10 or more days. Power companies don't do preventative maintenance in Texas because power companies are unregulated here. It is more profitable for them to wait for something to fail and slowly fix it rather than replace what hasn't broken yet.
In fact, power companies base their trade pricing on availability, so widespread outages are extremely profitable for them, as they can claim there are shortages where there are not. There is no mechanism to prevent this. And since the governor's campaign is paid millions of dollars a year by power companies, they are in control of their own "oversight".
As long as conservatives are in charge in Texas, this cannot improve. It can only become worse.
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With free power overnight, do you charge the batteries up to full before 7AM?
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I'd be shocked that anyone puts up with this, but then I remember how the healthcare system "works."