Abstract
It has long been known that time-averaged and geographically averaged retail tariffs distort end-customer's incentives to use and invest in appliances and energy efficiency. This problem is even more acute when end-customers can invest in and use on-site generation and storage. What tariff should be paid for the output of that generation or storage? Should the customer be able to use that output to offset his/her own consumption? Should the customer be able to sell any surplus to neighbors at the local retail rate? This chapter shows that with current retail tariffs, these policies have both pros and cons. Net metering and peer-to-peer trade will remain controversial as long as retail tariffs are not cost reflective.
Original language | English |
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Title of host publication | Innovation and Disruption at the Grid's Edge |
Subtitle of host publication | How Distributed Energy Resources are Disrupting the Utility Business Model |
Editors | Fereidoon P. Sioshansi |
Place of Publication | London UK |
Publisher | Academic Press |
Chapter | 10 |
Pages | 187-205 |
Number of pages | 19 |
ISBN (Electronic) | 9780128117637 |
ISBN (Print) | 9780128117583 |
DOIs | |
Publication status | Published - 16 May 2017 |
Externally published | Yes |
Keywords
- Australian regulations
- Buy all/sell all
- Community shared solar
- Gross metering
- Group net metering
- Net metering
- Peer-to-peer trade in electricity
- Virtual net metering