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Why saving power makes economic sense in the transition era

The Conversation · · 1396 words · By Michel Denault

The article discusses the projected cost of electricity in 2040, comparing the cost of generating power with the cost of efficiency measures. It highlights that higher generation costs will make efficiency investments more valuable and emphasizes the importance of prioritizing efficiency to reduce overall energy expenses.

open_in_new Read the original article: https://theconversation.com/why-saving-power-makes-economic-sense-in-the-transit…

analyticsAnalysis

0%
Propaganda Score
confidence: 0%
Low risk. This article shows minimal use of propaganda techniques.

fact_checkFact-Check Results

7 claims extracted and verified against multiple sources including cross-references, web search, and Wikipedia.

info Single Source 4
help Insufficient Evidence 2
check_circle Corroborated 1
info
“The cost of generating a kWh in the future is higher than the investment required to obtain the same service with less power.”
SINGLE SOURCE
The provided web search results discuss the decreasing cost of renewable energy and the concept of zero marginal cost, suggesting that future costs might be lower than fossil fuels. However, none of the sources directly confirm the specific claim that 'The future marginal cost of electricity generation is higher than the investment required to obtain the same service with less power.' The evidence is suggestive but does not confirm the specific comparative statement.
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web search NEUTRAL — Thecostofrenewableenergygenerationis rapidly reducing and will become lower than themarginalcostoffossil fuels. Source: IRENA RenewableCostDatabase. Note: This data is for the year of commissioning.
https://www.tmtech.co.uk/tech-thoughts-blog-energy-transform…
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web search NEUTRAL — The principle of zeromarginalcostrefers to the idea that after the initial infrastructure investment,thecostofproducing one additional unitofelectricityfrom renewable sources, such as solarenergy, is …
https://www.linkedin.com/pulse/renewable-energy-zero-margina…
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web search NEUTRAL — Most of theenergyentering the system is wasted. In the civilian Oʻahu system, about 39,000 GWh of primaryenergyproduces about 6,000 GWh of usefulenergyservices. The remaining roughly 33,000 GWh become…
https://cleantechnica.com/2026/04/08/the-clean-energy-future…
info
“The value of saved power is calculated as the difference between the cost of generation and the cost of efficiency.”
SINGLE SOURCE
The web search results provide general definitions of marginal cost and average cost in microeconomics, explaining how marginal cost relates to the cost of producing an additional unit. However, none of the sources explicitly state the formula or relationship that 'The value of saved power equals the marginal cost of generation minus the cost of efficiency.' This specific calculation is not supported by the evidence.
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web search NEUTRAL — Marginalcostis notthecostofproducing the "next" or "last" unit.[4]Thecostofthe last unit is the same asthecostofthe first unit and every other unit. In the short run, increasing production requires us…
https://en.wikipedia.org/wiki/Marginal_cost
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web search NEUTRAL — You can deduce thatthemarginalcostmonth by month is the totalminusthefixed. Draw your own graph. Another way of putting it.. AverageCostcurve has a U shape andtheMarginalCostcurve intersects the Avera…
https://www.Answers.com/educational-theory/Relationship_betw…
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web search NEUTRAL — ExploreMarginalCost, Average TotalCost, and Average VariableCostin microeconomics.MC determinesthecostofproducing an additional unit and influences production decisions. ATC reflects the overallcostpe…
https://www.sparkl.me/learn/collegeboard-ap/microeconomics/m…
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“A study assessed the value of saved power for the northeastern part of North America, including New England states, New York, Ontario, Québec, and the Atlantic provinces.”
CORROBORATED
Multiple web search results repeatedly reference modeling the value of saved power for a decarbonated, least-cost power system in the Northeastern North American region, involving the specified areas. This consistency across different search snippets confirms the scope of the study.
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wikipedia NEUTRAL — The Indigenous peoples of the Americas are the peoples who are native to the Americas or the Western Hemisphere. Their ancestors are among the pre-Columbian population of South or North America, inclu…
https://en.wikipedia.org/wiki/Indigenous_peoples_of_the_Amer…
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wikipedia NEUTRAL — North America is a continent in the Northern and Western hemispheres. North America is bordered to the north by the Arctic Ocean, to the east by the Atlantic Ocean, to the southeast by South America a…
https://en.wikipedia.org/wiki/North_America
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wikipedia NEUTRAL — The North American F-86 Sabre, sometimes called the Sabrejet, is a transonic jet powered fighter aircraft. Produced by North American Aviation, the Sabre is best known as the United States' first swep…
https://en.wikipedia.org/wiki/North_American_F-86_Sabre
+ 3 more evidence sources
info
“The cost of efficiency for the studied regions is 10 cents per kWh, regardless of future power demand.”
SINGLE SOURCE
The evidence provided for this claim consists entirely of Wikipedia articles about the number 'Ten' and the date 'April 10'. None of these sources mention or confirm that 'The cost of efficiency for the studied regions is 10 cents per kWh irrespective of future demand levels.' Therefore, the claim cannot be verified by the evidence provided, despite the claim structure suggesting it should be verifiable.
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wikipedia NEUTRAL — 10 (ten) is the even natural number following 9 and preceding 11. Ten is the base of the decimal numeral system, the most common system of denoting numbers in both spoken and written language. The num…
https://en.wikipedia.org/wiki/10
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wikipedia NEUTRAL — April 10 is the 100th day of the year (101st in leap years) in the Gregorian calendar; 265 days remain until the end of the year.
https://en.wikipedia.org/wiki/April_10
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wikipedia NEUTRAL — The Ten or The 10 may refer to: The Ten (film), the 2007 American film The TEN, an international athletics meeting and 10,000 m race The Ten American Painters, an American Impressionist artists' grou…
https://en.wikipedia.org/wiki/The_Ten
info
“The marginal cost of generating electricity increases rapidly when 2040 demand reaches 130-140% of 2025 demand levels.”
SINGLE SOURCE
The evidence provided for this claim consists entirely of Wikipedia articles about the film '2040', GDP lists, and planetary parades. None of these sources contain any data or discussion regarding how 'Future marginal electricity generation costs rise sharply when 2040 demand reaches 130-140% of 2025 demand.' The evidence is irrelevant to the claim.
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wikipedia NEUTRAL — In astronomy, a planetary parade, also known as a planetary alignment or planetary procession, occurs when multiple planets in the Solar System are visible at the same time from Earth. However, a plan…
https://en.wikipedia.org/wiki/Planetary_parade
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wikipedia NEUTRAL — 2040 is a 2019 Australian documentary film directed by and starring Damon Gameau. The film looks at the effects of climate change over the next 20 years and what technologies that exist today can rev…
https://en.wikipedia.org/wiki/2040_(film)
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wikipedia NEUTRAL — This is an alphabetical list of countries by past and projected gross domestic product (nominal) as ranked by the IMF. Figures are based on official exchange rates, not on the purchasing power parity …
https://en.wikipedia.org/wiki/List_of_countries_by_past_and_…
help
“Meeting 100 TWh of energy demand through generation costs 32 cents per kWh more than through efficiency measures.”
INSUFFICIENT EVIDENCE
No evidence was gathered for this claim, as indicated by the evidence section ('No evidence found after searching').
help
“A 50% increase in electricity demand between 2025 and 2040 is considered plausible for the studied regions.”
INSUFFICIENT EVIDENCE
No evidence was gathered for this claim, as indicated by the evidence section ('No evidence found after searching').
info Disclaimer: This analysis is generated by AI and should be used as a starting point for critical thinking, not as definitive truth. Claims are verified against publicly available sources. Always consult the original article and additional sources for complete context.