Quick way to double your energy costs: Get 2/3rds of your electricity from renewables.

Photo above - America's original solution to fossil fuel electricity generation.

The national average for electricity is 17 cents per kWh. In California, it’s 37 cents. More than double. (see link at bottom). If you’re paying less than 17 cents, count your blessings. If you’re paying more than California’s 37 cent rate, congrats on living in Hawaii.

Okay, I can manage my electric bill SOMEWHAT by turning up the thermostat to 78 degrees in summer. Buying a smaller refrigerator. Unplugging my “vampire” OLED TV when I'm not watching anything. Grilling outdoors instead of using the oven. Oh wait . . . that’s probably going to cost more in the end.

But what about buying an electric car? If you think is math is hard, stop reading here. Okay, are the smart people ready to proceed?

An average American EV needs 35 kWh to travel 100 miles. That electricity costs $0.37 per kWh in California. I would spend $12.60 to go 100 miles. If I drive 1,000 miles a month, that’s $126 in fuel cost. Possibly more if I’m ever trapped in a freeway traffic jam.

But I already have a Honda Civic Hybrid (purchased in November, in Florida.) It gets 50 mpg. A gallon of gas costs $3.19 this week. To go 100 miles it would cost me $6.40. To go 1,000 miles that would be $64. Plus, I earn 2% cashback rewards when I buy gas on my credit card. I get zilch when I write a check to the electric company - just a reminder in my next bill to turn off the lights when they’re not in use.

Okay, I agree that these numbers are scary. And electricity costs are rising much faster than inflation. There seems to be no way to reverse this. No, I am NOT suggesting trading in your EV on a gas car. EV trade-in values have tanked recently, probably because of high electric rates and vandalized charging stations.

Fed Chairman Powell isn’t going to tame electricity costs by jacking up the Fed Funds rates even more. Congress and the White House could continue to pass out huge grants, subsidies, and tax breaks for the electricity flavor of the month, but that’s what got us into this mess in the first place.

And kWh hungry AI is growing exponentially. More server farms. More electric cars. Electric cooktops will replace natural gas. Natural gas furnaces and hot water heaters are also on death row. There’s no good news here.

Maybe I should set my air conditioning to 80 degrees? Or build my own nuclear power plant like Amazon is doing? Actually, Amazon is building 4 dedicated nuclear power plants to operate it's AI stuff. Don't ask where the spent fuel is going to be stored . . .

I’m just sayin’ . . .

CA running 67% on ‘clean’ energy; prices double US average

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Pherick · 41-45, M

Like most things thats not the full story. A quick search and some reading shows CA electricity prices are higher for a variety of reasons.

1. Wildfire mitigation and infrastructure upgrades. These are costs the companies billions and those increases are passed to the consumer.

2. Upgrading to cleaner systems, again upgrades in infrastructure here cost money and its passed to consumers.

3. CA has a very complicated rate structure. They have peak times where electricity can cost more.

4. Also CA has quite a few power companies that all have varying rates, and those power companies lobby quite a bit, and I am sure you can imagine those costs are also passed to the consumer.

TinyViolins · 31-35, M

@Pherick Exactly. Without any breakdown of the cost accounting going on, there's nothing to go on besides speculation.

Nor does it touch upon what will happen to the costs once renewable energy sources can reach higher economies of scale. The infrastructure is decades behind coal and gas and requires investments to catch up and bring prices down

ElwoodBlues · M

@Pherick EXACTLY!! South Dakota is leading in wind energy, has some of the lowest electricity prices in the US.

In 2023, South Dakota generated 76% of its total in-state electricity from renewable resources, primarily wind and hydroelectric power.
https://www.eia.gov/state/analysis.php?sid=SD
New Mexico is about 60% renewable
https://www.eia.gov/state/analysis.php?sid=NM
Iowa is about 63% renewable
https://www.eia.gov/state/analysis.php?sid=IA

Average cost in SD: 13.37 ¢/kWh
Average cost in IA: 13.41 ¢/kWh
Average cost in NM: 14.44 ¢/kWh
Compare Florida: 15.27 ¢/kWh
https://www.saveonenergy.com/electricity-rates/electricity-rates-by-state/

SusanInFlorida · 31-35, F

@Pherick so your theory is that renewables could be cheaper, if we ignored wildlife and environmental protections?

coincidence, that's also the position of big oil and the nuclear industry. "Get rid of all the rules"

ElwoodBlues · M

@SusanInFlorida Go ahead, ignore the data I posted from SD, IA, & NM, even though it COMPLETELY refutes your claim🤣😂

Pherick · 41-45, M

@SusanInFlorida What? How did you get that from what I said???

Many many things, power included, could be cheaper if we ignored wildlife and environmental protections, but I like it when my rivers don't catch fire, so why don't we leave these things in place huh???

Myself, I think like alot of people, are willing to pay a little more to make sure wildlife and environmental guidelines are being followed!