Comment Re:But....Profits! (Score 2) 281
They can't outstrip actual costs for more than 6-12 months, depending on the local laws. (In my state, the utilities have to justify prices to the public utilities commission or PuC every 6 months.) If in a given period they make more money than they are allowed to - the aforementioned 5-10% - then the excess is returned to the ratepayers.
Capacity upgrades are generally a small percentage of O&M budgets. The majority goes to preventative and corrective maintenance (e.g., tree trimming, transformer replacement) and major upgrades to existing systems (e.g., replacing overhead with underground).
While the solar backfeed is "local," the fact is the AC grid is somewhat of a beast. You still need to maintain the whole system.
Capacity upgrades are generally a small percentage of O&M budgets. The majority goes to preventative and corrective maintenance (e.g., tree trimming, transformer replacement) and major upgrades to existing systems (e.g., replacing overhead with underground).
While the solar backfeed is "local," the fact is the AC grid is somewhat of a beast. You still need to maintain the whole system.