Australian Power Company Caught Overcharging Customers to Make Up for Lost Revenue Due to Solar

[eridani]

http://readersupportednews.org/news-section2/318-66/26071-australian-power-company-caught-overcharging-customers-to-make-up-for-lost-revenue-due-to-solar

Energex documents reveal that the company last year planned to “recover” $469.8 million in “under-recovered revenue” over the next two years, with the amount to be tagged on to future prices.

The figure reflects the shortfall in actual revenue compared with what the Australian Energy Regulator allows the energy distributor to recover, with a new revenue cap set every five years.

It means householders pay for power they do not actually use, with the energy distributors able to reap revenue based on forecast demand rather than actual demand.

An Energex spokesman said yesterday that $274 million under-recovered as at the end of fiscal 2013 was due to reduced customer-driven works and lower than forecast energy consumption.

But he said another $240 million was due to solar PV costs and $43 million due to network performance exceeding targets.

[Sherman A1]

1. K&R

Seems to me that is what US power companies do as well, but just my POV.

[Nihil]

2. "energy distributors able to reap revenue based on forecast demand rather than actual demand"

Under this model, just what incentive do energy distributors have to make anything other
than over-inflated forecasts of demand?

> It means householders pay for power they do not actually use

Similarly, what incentive do consumers have to improve their efficiency & reduce waste?

[madokie]

3. our electric bill went up 10 bucks last month

even though our KW is the same.
I wonder what or who is doing what to who. We being the who that’s taking it up the you know what