The distribution grids that deliver TVA electricity consist of a network of wires that carry the power around (to consumers). Distributors within the TVA system must agree to carry the power of all comers, at non-discriminatory rates too. And it can charge a fee sufficient to cover the cost of providing a reliable, responsive grid.
“Then you’ve two other parts of the system: those who own the power stations that feed electricity into the grid and those who run marketing organisations to bill for what consumers pull from the grid. And within such a system it’s simple enough to make sure that everyone who has a grid connection is charged for the use (even if that use is only insurance against cloudy days) of the grid in the appropriate manner and amount. Without having to worry about how much electricity they’re actually using.
This really is a real problem with solar power: and that really is the solution. Unbundle the utilities into a pure grid charging all for the use of it and keep that very separate from who is generating power by what means”, suggests Tim Worstall Forbes’ contributing author