Paying for kWh, kW or km?

Paying for kWh, kW or km? / Claude Crampes, Toulouse School of Economics, EU Energy Policy Blog, 8/09/2014

Traditionally, the distribution charge paid by consumers of electricity connected to a grid is based on the capacity for which they subscribe and the number of kWh withdrawn during a given period. Energy consumption is however actually a poor approximation of the willingness to pay for being connected. Additionally, except for thermal losses, the cost incurred by distribution system operators (DSO) does not depend on the quantity transported. The main raison d’être of the kWh index is that it is indispensable for producers and suppliers. Since it is an existing gauge provided by installed meters, why not use it for distribution?…

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Danièle Revel (2014, 10 septembre). Paying for kWh, kW or km? Veille énergie climat. Consulté le 24 avril 2024, à l’adresse

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