zinger1457
Thinks s/he gets paid by the post
- Joined
- Jul 22, 2007
- Messages
- 3,234
There is simply too much shared infrastructure for any utility to accurately determine how their fixed costs should be allocated between different types of customers.
As a practical matter the per user fees charged mean lower-consumption customers (e.g. residential) end up subsidizing higher-consumption (commercial/industrial) users.
Tell me about it, during my last electric utility rate increase my average electric bill went up ~20% even though they decreased the cost per kwh, all due to fixed costs increases.