How are there multiple electricity companies if the power comes from one line?

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I don’t understand how there can be multiple electricity companies if the power comes from the same power line.

What I mean is, how is the power I’m getting different from the power my neighbors are getting? It’s the same power, so how can so many different
companies charge different amounts for it?

In: Economics

7 Answers

Anonymous 0 Comments

It all gets added to the grid and there’s no real way to tell which electricity is which. When you buy electricity they just “say” that the electricity you pulled from the grid came from your provider. And your provider inputs energy into the grid or buys energy that another provider input into the grid, so they just “say” that they input x amount into the grid at the time. It’s all about checks and balances. When you choose solar energy from your provider you aren’t necessary getting electrons generated by solar you are probably getting electrons originating from a coal generator, but your provider makes sure that they buy enough actual solar energy into the grid to cover the amount you use

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