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Starting a power plant

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guilio2010

Electrical
Nov 8, 2012
80
In a deregulated market, how is a power company set up to sell to a particular commercial or residential customers? I'm PJM, you have all these options of different generation companies that you can choose and I'm wondering how they get on that list or if anyone here has experience in that area?

Thanks,
 
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You need to look at grid code of the country you wish to set a power company in. Even if de-regulated, you might have a body which grants licence to transmit or distribute power.

Generally a grid code, lists out the dispatch and control centers with whom a power generating company or distributing company communicates during operation.

I may give more useful insights if you can be specific to a country.
 
He said PJM, which is part of the US Eastern Interconnect.

That's all Marketing black magic where power flows according to Tags, rather than the Transmission side of things where power flows according to Ohm's Law.
 
Marketing black magic sounds about right.

I'm in PA, USA area. Really, if you wanted to build one, I think that would be easy. It's just getting to the point where you can sell it and I can't figure out their documentation.
 
It's a complex process to permit and build a merchant power plant in the US. First step is to evaluate the economics based on a realistic business plan including construction costs, cost of capital, fuel costs,O&M costs, etc and then evaluate the probable revenue that the power could produce. Then factor in any tax credits and other government incentives. If that pencils out, then you need to start thinking about a site, permitting, air quality issues, etc. In the US, you are pretty much assured of being able to sell the power - but maybe not at the price you'd expect.

Based on my experience, nothing about it will be easy.
 
Get ahold of someone at PJM, TVA (if they apply) or another local balancing authority, interconnecting utility, etc. and ask them. There are going to be many players in an independently owned power plant interconnection and you'll need to have all of them in the picture to make it happen
 
I won't be going that route. Just curious as every time I look at prices I see this long list of 20 some companies that sell their electricity at various rates. I can foresee all the hoops but if all these companies are listed how hard could it have been?
 
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