What would the world be like if

[Mattius_]

Electricity cost almost nothing to use. Not only would our monthly bills be erased, but almost every realm of production would be made more efficient. Im having trouble fantasizing this scenario. What else would happen? Would free electricity pave the way to a new type of technology that are now limited by the cost and availability of electricity? Would near free electricity make less war? To my knowledge, most of the time war is fought over rescources. What kind of things would happen if electricity was both nearly free and nearly limitless?

[arildno]

Well, I'll give you what happens in Norway (due to waterfalls, we have an overabundance of sources for electrical power; it has been very cheap, by world standards).

Recently, the power production was privatized.
The result is that all power plants in order to maximize their personal profits sell out of Norway all their produced electricity during the spring/summer when little is used nationally (because of hot weather).
When winter comes, there's a (purported) shortage of electricity, so the power plants sets in unison up the price level to whatever they like (they're a mafia).

Earlier, there was planning&storing going on, so that it was a fully adequate supply of electric power throughout the year for a very low price.
In addition, the municipalities had a healthy profit from the proceedings (no tax-payer money was spent on keeping the prices low).

[Aquamarine]

Well, I'll give you what happens in Norway (due to waterfalls, we have an overabundance of sources for electrical power; it has been very cheap, by world standards).

Recently, the power production was privatized.
The result is that all power plants in order to maximize their personal profits sell out of Norway all their produced electricity during the spring/summer when little is used nationally (because of hot weather).
When winter comes, there's a (purported) shortage of electricity, so the power plants sets in unison up the price level to whatever they like (they're a mafia).

Earlier, there was planning&storing going on, so that it was a fully adequate supply of electric power throughout the year for a very low price.
In addition, the municipalities had a healthy profit from the proceedings (no tax-payer money was spent on keeping the prices low).
Actually, the deregulation has been quite succesful. Look at Figure 1 one here:
http://www.teriin.org/online/ijrg/dec03/paper3.pdf
The competitive nature of the Scandinavian market is demonstrated
by the fact that spot prices are close to marginal costs.
Another indication of a competitive market is low retail margins.
Trade margins have been shrinking for most customer groups.

[tribdog]

That stupid rabbit would be going and going and going to the unemployment office.

[jimmy p]

Yeah, if electricity were free, you would get a lot of annoyed power plant workers.

[tribdog]

ever met a power plant worker who wasn't annoyed?

[jimmy p]

I have never met a power plant worker... except Homer Simpson, so no. But I could imagine that they would be even more annoyed.

[BoulderHead]

I seem to recall early advertisements wherein nuclear power was being promised to be very inexpensive.