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Maryland citizens hit with $2B power grid upgrade for out-of-state AI

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Re: Maryland citizens hit with $2B power grid upgrade for out-of-state AI

#6
post #4

I am curious how electricity is priced. Why are more and more utility providers charge based on ‘infrastructure cost’ or ‘fixed platform fee’ instead of usage fee?

because as part of their legal monopolies they are only allowed to charge a "reasonable" usage fee.

ETA: utility companies make profit on capex, not opex

Re: Maryland citizens hit with $2B power grid upgrade for out-of-state AI

#10
post #6
post #4

I am curious how electricity is priced. Why are more and more utility providers charge based on ‘infrastructure cost’ or ‘fixed platform fee’ instead of usage fee?

because as part of their legal monopolies they are only allowed to charge a "reasonable" usage fee. ETA: utility companies make profit on capex, not opex

Only allowed to charge “reasonable” usage fee means no other non-usage fee allowed or it is purposely designed to allow other kinds of fees?
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