Decentralization

There will be positives and negatives of greater decentralization of power generation. There will be an increase in competition with new and/or smaller companies being able to enter the market and this could drive price in either direction. Usually when there is more competition in a market it drives the price down because consumers have options. But if there are only a couple options for consumers to get energy from, then prices could actually been driven up. Decentralization will also lead to an upgrade in the electrical grid. There will be more renewable power that will need to be put on the grid and in order for the grid to handle that, there will need to be improvements made. This will most likely lead to a more stable grid.

The new businesses that will evolve are renewable energy businesses and all the parts that go along with it. Smaller renewable energy businesses will be created to supply the energy to the consumers and these alone will range in all shapes and sizes. There will be businesses that specialize in wind and/or solar and probably biofuels. With that we will see technology evolving around those businesses. There will be companies that are created so make wind turbines smaller for homes, and PV’s that are durable but less expensive. Construction companies will evolve that specifically specialize in the installation of these products.

The business that I see myself creating is the business I have wanted to create all along: working with developing countries to survive off the grid. I want to have a business that builds renewable energy grids for communities in developing countries so they can live healthier lifestyles. By building a grid for each community that relies of solar and wind power it will supply communities with more electricity than they have and is self-sustainable.

One thought on “Decentralization

  1. Hello Kaitlyn,
    You spoke about an upgrade in the electric grid as an after product of increased competition in the market for electricity. I certainly agree that the grid we currently have is falling apart and can barely manage the load it’s under now. However, upgrading a grid for a state will be extremely costly and is part of the reason why nothing has been done to fix it now. How do you envision these upgrades being funded? A tax on consumers, a tax on business, funding from the federal government or private investors?
    Laura
    Here’s the link to my post!
    http://engr312.dutton.psu.edu/2014/11/07/community-based-electricity-hammonds/

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