Many energy infrastructure projects are being financed under the Construction Work in Progress (CWIP) initiatives that allows them to pass on the cost of construction to households. Proponents argue this incentivises new power generation while reducing the long term costs ratepayers face. However in practice this ratepayer saving could be as low as to the tune 0.1% while taking half a century to actually materialise.
Imo this seems incredibly stupid. There already exist strong incentives to build new energy infrastructure as AI companies are chomping at the bit to fund it. All this does is pass down the price to regular consumers and businesses, I highly doubt it is positive for overall economic activity.
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Many energy infrastructure projects are being financed under the Construction Work in Progress (CWIP) initiatives that allows them to pass on the cost of construction to households. Proponents argue this incentivises new power generation while reducing the long term costs ratepayers face. However in practice this ratepayer saving could be as low as to the tune 0.1% while taking half a century to actually materialise.
Imo this seems incredibly stupid. There already exist strong incentives to build new energy infrastructure as AI companies are chomping at the bit to fund it. All this does is pass down the price to regular consumers and businesses, I highly doubt it is positive for overall economic activity.