Least cost planning : should utilities invest in energy efficiency rather than new supplies?
The essence of least cost planning is that in some circumstances it is more profitable for a utility to encourage its customers to use less electric power/water/gas than it is for the utility to sell a larger quantity of its product.Expand abstract
The two parameters that define the circumstances when this may occur are the price at which the utility can sell its service; and the cost of investing in new or additional plant to meet growing demand, as compared to the cost of conservation measures....
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- Oxford Institute for Energy Studies Publisher's website
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