Why Electricity Costs Will Soon Level Off
Or, ‘Why we do not have to fear high energy prices in the future.’
Many people, including policy makers, worry about the cost of electricity rising so high in the future that it causes a have/have not society, economic Armageddon, or at least, place a drag on economic production. This is especially true in the USA, where energy costs are still among the lowest in the world, and even a doubling of electrical prices is seen as a catastrophe. But that is not what is going to happen.
As a technical business person who has been involved in the energy fields for nearly 40 years I have seen a glimpse of the future of electricity pricing in the form of island nations and remote villages. I have come to understand and experience why electricity prices will stabilize, after rising somewhat more, and why we don’t have to fear the worst. The sooner our policy makers also see this, the sooner we will be willing to accept a short term rise in electrical prices in exchange for the longer term benefits of environmental health and climate stability. At the moment we tend to view these paths as mutually exclusive: an expensive ‘choice’ we need to make where we can either have affordable energy, or we can have a a clean, sustainable future. In reality we will have both. Here’s why: