The Life and Death of the Utility Death Spiral

Last modified: March 14, 2019

by Frank A. Felder, Rasika Athawale

The Electricity Journal, Volume 27, Issue 6, July 2014, Pages 9-16

The so-called death spiral is not necessarily a result of disruptive competition from resources at the customer side of the meter, but from the inherent design of rate structures. This article highlights the value of the grid as a call option for consumers and suggests rate design as a cure.