Categories: Africa

The Merits Of A State Run Electricity Grid

As we all know having he government run the monopoly electricity grid is a no brainer. Why should private capitalists be able to make money out of what everyone needs? Our of a monopoly?

The idea that the state might not actually be competent at running a grid perhaps?

South Africa is in the grip of an unprecedented power crisis after record rolling blackouts were announced to prevent a total collapse of its decrepit energy grid.

Businesses and households across the country were plunged into darkness and confusion last night after the debt-laden state electricity firm suddenly signalled its biggest planned power cut since so-called “load shedding” began 11 years ago.

Hands up everyone who thinks Grandpa Death knows enough to keep the lights on? Even, is capable of hiring those who can?

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Tim Worstall

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  • In Oz in the states that sold off their monopoly power generators and distribution electricity prices rocketed. Two states on immoral high ground shutdown profitable coal fired plants that had not been upgraded or replaced when due. Hardware has an economic life you know. The Federal government then set up a single market (monopoly supply anyone?) so the remaining stable power stations now bid in in an Enron like induced shortage. Needless to say subsided solar and wind installations at most add instabilty to grid in between the high peak loads when they provide little during extreme high loads. Claims of one state getting half their power from renewables are laughable. That state imports electricity from other states to keep a working grid most of the year. So far the private sector wont do anything without massive subsidies and has an economic imperative to maintain the monopolised shortage during peak load periods, like Enron did. Bring back government owned power and poles in each state. Stuff national grids. All the "market" has done in Oz is create and maintain a savage monopoly defended by left wing idiots and clown apologists for party donors

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Tim Worstall

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