sci.energy.hydrogen

"Terryc" wrote in message
news:47c74b2e$0$3160$c30e37c6@...
> Don Lancaster wrote:
>
>> This ignores the fact that brokering can largely offset peaking that is
>> only rarely needed.
>
> AFAIUI, brokering is limited by the capacity of the grid to deliver it.
>
> Does brokered electricty in the USA attract a "transmission" fee/tax to
> provide the needed infrastructure?

I suppose it varies by state. Here in NY, the ISO charges some generators a
'congestion fee' to sell power to customers over heavily used transmission.

So a generator in upstate NY may offer to sell to a customer on Long Island.
The normal cost the generator might charge could be $40 / MW-hr. But
because he has to 'schedule' his power over the lines controlled by the ISO,
and others are doing the same thing, the ISO charges him a congestion fee
and the customer on Long Island ends up paying more. In peak periods, the
'congestion fee' can run $70 - $100 / MW-hr so the price on Long Island may
be $110 - $140 / MW-hr.

This does several things. It is an incentive for someone to build capacity
right on Long Island (if they can get the permits and political approvals of
the Long Islanders). It provides funds to the ISO to upgrade the
transmission lines between upstate and Long Island. It provides incentive
to 'load level' by shifting time of use.

daestrom