Rate design is so weird.

I can install an on-site solar + storage system, interconnect in front of the meter, and generate revenue via VDER.

But if I put that system behind the meter, with the same exact production/dispatch profile, the savings/revenue is less.

Does this make economists twitch? Same exact contribution to the grid, but different compensation.

Shouldn't imports and exports be valued in the same way?

It's like utility scale batteries being forced to charge with retail power and getting compensated with wholesale rates.

Honestly, NEM would actually make a lot of sense if we just had good rate design.

We should stop thinking of customers and generators differently if we really want a distributed, bi-directional, diversely owned and operated grid.

It's a bunch of nodes on a network with differebt real time energy and capacity/infrastructure rates. If power flows one way you get charged those rates. If it flows the other way you make those rates.

I want to start a new grid.

Utilities will have nothing to do with billing, rate design, etc. They just build and operate the distribution infrastructure and get costs approved.

Then the ISO/DSO/whatever establishes rates at every node for real-time energy and local infrastructure. They make sure you get billed or paid depending on the balance of flow across your meter. Same rates each way.

There will also be companies, simillar to today's REPs, that you can elect to virtually intermediate your billing/revenue from the ISO/DSO/whatever.

With them you're free to do whatever you want. You can work out pricing deals, dispatch rights, equipment financing, etc.

@google, you should totally give @DER_Task_Force a bunch of money so all my friends could design the @sidewalklabs of electricity networks.