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noah_buddytoday at 12:09 AM0 repliesview on HN

Think about this like a market. Suppose yes, there is demand for your power at $1000/kwh.

What is the market pressure here? Suddenly a ton of new capacity in solar, gas, etc, will come online and drive that price down because there will be much more capacity before you reach the point of $1000/kwh purchases.

The alternative is that people get paid at cost of production, which if you think about it is less fair. Why should a gas turbine get paid $67/kwh and a solar cell or battery get paid less? It also means that the market incentivizes more cheaper energy as a rule, because they take profit.

Would you go to the gas station charging $2 above market price just because their costs are higher to produce the gas?