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"Free" vs. Opportunity Cost
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Posted by Reality (more from Reality) on Tue, 6 Mar 2012 04:03:16 Share Post by Email
In Reply to: Not that black and white, No Snaab, Mon, 5 Mar 2012 08:27:04
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Electricity generation capacity in a grid is not at all constant. The reserve capacity generated through expensive means, such as burning natural gas or diesel vs. burning coal, only comes online during peak load. Wind generation only accounts for a tiny fraction of electricity generation (like less than 0.1%) , and it is not clear wind power generation can ever recover the initial cost of mining rare earth metals and setting up towers in the middle of nowhere, plus the ongoing cost of maintenance in the middle of nowhere. With wind power, you are now talking about another government subsidized boondongle on top of the Volt boondongle, while another inefficiently run government monopoly the public roads is being short-changed for maintenance fee that usually comes from gasoline tax.

If you are really worried about excessive electricity generation capacity not being used at night time, there are far more cost-effective ways of utilizing it: price it so low during that time slot that homeowners with diesel heating can turn on their electric heaters at night; or set up Fishcer-Tropish synthetic gasoline production facilities that can use the electricity to produce gasoline from natural gas and coal. Charging a big battery and then lug it around in the car is a very energy inefficient way of using electricity, especially since Lithium production itself is very energy intensive and expensive.



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