Welcome to the world of baby-economics where people think a “negative” price is a sign of success. In Simpletown people are cheering. But in the real world a price signal that’s negative tells us that someone is selling something so awful they have to pay someone to take it away. It’s a burden that must be got rid of, like trash.
Germany set to pay customers for electricity usage as renewable energy generation creates huge power surplus – The Independent
Electrons cannot be created nor destroyed. If you make them, you have to deal with them. Negative pricing is a bad thing, a sign of “junk electricity” — a burden. It’s utter nonsense in a free market.
From the outset, I’m skeptical that anyone is actually paying someone to take electricity. If wind farms were coughing up dollars (euro) to “customers” surely they would just disconnect their spinning thingo from the grid? Who wants to be a shareholder in a company that forgets to lock the turbine, or press the “off” switch, and has to pay customers to take its electronic trash? The truth (whatever it is) will turn out to be some variation of an unfree market. Probably […]
via JoNova
November 1, 2017 at 02:59AM
Iowa Climate Science Education 