Europe faces an unusual problem: ultra-cheap energy - https://web.archive.org/web/20240620151949/https://www.economist.com/finance-and-economics/2024/06/20/europe-faces-an-unusual-problem-ultra-cheap-energy
Yeah, like, just pay for it with your own money you poor fuck. And if you’re poor it’s probably your own fault, pull yourself up by the bootstrap like my CEO daddy did.
As a libertarian, I actually disagree. Natural monopolies should be a public service because the incentives to provide ethical service aren’t there. You can’t realistically have multiple power companies, so the city/state should provide electricity service.
Power generation could be a private service, since cities can choose their suppliers. They can also generate their own, and private energy would need to compete with that.
Of course you can have multiple power companies in the city! A quick search shows that I can choose from over 10 different energy providers for my home. There’s no such thing as a natural monopoly, they only happen when legislation allows them to happen.
No, what you have are 10 different customer support companies. They probably don’t own the wires coming to your house, or the substations and power poles and whatnot. Maintaining separate infrastructure for 10 companies isn’t practical, so they either own joint ventures that do (less likely) or shift that onto cities and other government entities.
We’re doing that with our municipal fiber initiative, the city owns the infrastructure and companies provide service on that infrastructure. I think “service” is a silly thing to compete on (how often do you really need something from your ISP or power company?), especially when they don’t own the lines so they can’t do much to help, but whatever. I think it’s much better for companies to compete on extra services, like providing base power, energy storage, datacenters (going with the ISP example), etc. Then again, it works reasonably well for MVNOs, so I guess there’s a chance it’s a net positive.
