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Question:

Who would own the global electricity network?

Key Words:

global electricity network, United States, existing grid, individuals, cooperatives, corporations, utilities, governments, geography, business, marketplace, finances

Answer:

Most energy grids are owned by the entity, utility or national government that built the project. In the United States, the normally means a public or private utility. There are both public and private utilities, plus municipal utilities in some cities.

There is usually a single electric grid within a service territory. In many nations, there is a single national utility, so the network of lines and substations are owned by the state.

Under deregulation and privatization, there are sections of grids that are now being proposed, financed, and built by newly formed transmission companies and their investors. Yet, energy grids are managed in a cooperative way by system operators to minimize power costs, level load fluctuations, maintain reliability and provide back-up emergency.

The ownership of growing grid networks doesn't change as they expand interconnections. What's created is similar to a wide area network — with more generation points and transmission pathways.

In essence, the grid becomes a common carrier for the good of all. In almost all cases, these different entities cooperate between each other in the exchange of elelctric power a mutually beneficial relationship for all.

So, ownership of this interconnected grid is held by thousands of companies and the nation-states, who cooperate on the buying and selling of power across those same lines.

Related Issues:

Energy

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Related Issue Link Energy

 



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