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Electricity Apocalypse Soon?

mindriot writes "Heise's awarded online magazine Telepolis has published a nice article (English / German) discussing the ongoing series of power blackouts (after the U.S. blackout, London, Scandinavia, and other incidents, the most recent victim being Italy). 'The blackouts bare the Achilles Heel of our "information society" ,' the article states, and sees the recent events as a precursor to a possible massive on-line blackout. As society becomes more and more dependent on information and power networks, the failure of a single wire or the interruption of a satellite uplink can become a major issue and form a great vulnerability. As the article explains, market liberalization, globalization and plain ignorance could endanger our infrastructure to a very discomforting extent." Free markets cause power blackouts?

10 of 576 comments (clear)

  1. Free markets cause power blackouts? by Ricin · · Score: 5, Insightful

    No, but greed, incompetence, short term thinking, and the outsourcing of everything does. Having no real authorities to answer to surely helps as well.

    As a bonus it will get more expensive also, aren't we lucky :)

    IMHO the privatizing of utilities such as electricity is *not* a matter of consumers' interests and not even a matter of producers' interests really. It's ideology. Religion if you like.

    1. Re:Free markets cause power blackouts? by Urkki · · Score: 4, Insightful
      • The trend is not good, but it is not apocolypitic. It is something that can be fixed but are people willing to pay for it

      In other words, we're done for.
    2. Re:Free markets cause power blackouts? by THEbwana · · Score: 4, Insightful

      Nail hit _into_ head.

      - Whats free about a market where the government dictates prices, hinders you from using various financial instruments for mitigating risks etc.?
      The US electricity market is merely a bastardized version of the 5 year plans the USSR were so famous for. The same goes for most of the other so-called free markets.
      This is not the failure of a de-regulated market but more that of a failure to privatize them.

      The Economist carried a few very enlightening articles recently on this - however, they were not free (so no url's for you) :-(

  2. Basically, yes. by Moderation+abuser · · Score: 4, Insightful

    "Free markets cause power blackouts?"

    The free market tries to make money out of the infrastructure this means low maintenance, low investment. It's a recipe for blackouts.

    Can't say we weren't warned though.

    --
    Government of the people, by corporate executives, for corporate profits.
    1. Re:Basically, yes. by NerveGas · · Score: 4, Insightful

      .... and even better, once there ARE blackouts, the companies are able to convince it's customers that because electricity scarce, it should cost more.

      So, you stop paying for maintenance, and get to raise prices. Isn't that precious?

      steve

      --
      Oh, you're not stuck, you're just unable to let go of the onion rings.
  3. Shark Attacks! by Saint+Stephen · · Score: 4, Insightful

    Remember the "Summer of the Shark Attacks" ?? i.e. Summer 2001....

    We tend to focus too much on the news of the moment. If we have a bunch of blackouts, all that will happen is we'll work real hard and turn the power back on.

    Although the sequence of blackouts is an odd coincidence. Mebbe somebody's playing a trick.

  4. Re:Is it just me? by NerveGas · · Score: 5, Insightful

    Why is it that many of these countries have not had significant blackouts for years, decades even, and then they all have signigicant blackouts within the same six month period?

    Because when the tree fell in the woods, nobody was around to hear it. Power outtages are one of the currently "trendy" things to report on, so you hear about much more of them.

    Over the past several decades, the ability of the media to provide timely stories from farther away has greatly increased. Because of that, every glitzy, trendy subject can get far more coverage. When blackouts are the media's attention, you'll hear about plenty of them. When gun violence is their target, you'll hear about plenty of that.

    The bit is that most of these things really aren't happening any more frquently than usual (sometimes actually LESS frequently!), but because you hear so much about it, it gives you the impression that it happens much more often.

    Pick out a make, model, and color of car, and fixate your mind on it for a day or two. Suddenly, you will see far more of them on the road than you ever have before. There aren't really more of them, you just notice more of them.

    steve

    --
    Oh, you're not stuck, you're just unable to let go of the onion rings.
  5. utilities by Tom · · Score: 4, Insightful

    Free markets cause power blackouts?

    That was a rhetorical question, wasn't it? The picture is clear on all utilities: Privatisation has almost always had the same effect:

    * In the short run, prices plummet and more alternatives appear.
    * In the long run, after a low number of de-facto monopolists remain, prices rise and reliability and service go down

    Exceptions I know about are:

    * Some 2nd world countries that were forced to privatisation by the WTO, where the first step was skipped (water in south america, great topic)
    * A few 1st world countries who - so far - managed to keep competition going, usually by the dreaded government intervention against emerging monopolies.

    The problem is simple: As a government company, a utilities' purpose is to supply something to the people, be it water, power or phone service.
    As a commercial entity, its purpose is to make money for its stockholders. If regular blackouts increase your profits, we will see more of them. If firing half your service people, reducing maintainance costs and saving the R&D money for future developments rises the stock prices, that is what we will see to happen.

    Oh, sorry, have seen happening.

    --
    Assorted stuff I do sometimes: Lemuria.org
  6. Correct problem, wrong cause by seldolivaw · · Score: 4, Insightful
    Yes, we are critically reliant upon power networks, even more so as more and more of our commercial and even social life moves online. Yes, recent events have shown how vulnerable both of these are. But the author of the article trots out the traditional anti-globalization arguments to explain the problem: that focussing on profits instead of service levels leads to poor services. But likewise, in a regulated or monopolistic situation, lack of competition produces no incentive to improve service levels -- the energy industry in Italy is by no means a free market, yet they've just had the largest blackout in history.

    The real problem is in the design of networks. Information networks are designed to be fault-tolerant (famously but erroneously attributed to a desire to withstand nuclear attacks) -- multiple connections and a "mesh" network mean that if nodes break, traffic is routed elsewhere and the network continues to function. This works great, and there's no problem with it. But the problem is, humans don't build networks this way, and economics is against doing so.

    If you're buying a network connection, you buy it from the best provider available, which naturally means network connections become concentrated to a few suppliers, who in turn find economies of scale and provide lower prices, thus attracting more customers. Thus the economics of building networks naturally produces networks that have a few or even single points of failure: we noticed this on September 11th, when the knockout of the huge links through New York noticeably slowed transatlantic traffic, even to sites other than CNN and the other news sites that were being toasted by demand at that point. Centralisation is something that we naturally do because it's economically efficient, but centralisation leads to problems for networks.

    In the energy sector, things are even less flexible, because energy connections are a lot more expensive to set up and difficult to maintain than information links. The US powercut was caused by the cascading failure of a daisy-chain of power stations around the great lakes. Nobody would build an information network that way any more, but it's still the natural way to build a power network. Italy's powercut was caused by a huge reliance on foreign power, supplied by JUST TWO LINKS to France -- one fell over, instantly overloading the second and knocking it out too.

    Yes, we are critically reliant on these fragile networks. And yes, economic realities tend to cause these problems, but not because of privatization: it's simply because humans naturally tend to build poor networks, because those are cheaper -- no matter who pays the bills. To solve the problem, we need to pay more attention to networking theory when building all of our networks, and provide regulatory incentives to build better networks of both kinds.

    Or one day, a critical failure will cause a cascading catastrophe, and it will be nobody's fault. We built the network to fail that way.

  7. Re:DR for the home by b-baggins · · Score: 4, Insightful

    *The current infrastructure is failing. It is failing because the basic engineering tenants of managed service and growth have been undercut by neo-free market economics.*

    This is so TOTALLY off the mark, it is not even funny. The grid is falling apart because environmental lawsuits have effectively KILLED any and ALL attempts to modernize it.

    Case in point. Tuscon Power is attempting to update it's grid infrastructure in SW Arizona. Environmentalists immediately slapped a lawsuit on the company claiming that some stupid sage brush would be impacted by the building of the power line transmission towers. The lawsuit failed, so the same groups immediately petitioned to have the plant declared endangered so that the EPA could stop the project by simple bureaucratic decree.

    That is NOT free markets destroying our power grid, it's enviro-nazi anti-capitalists.

    The first part of the solution is correctly identifying the problem.

    --
    You can tell a great deal about the character of a man by observing those who hate him.