Google Applies To Become Energy Marketer

necro81 writes "Google consumes massive amounts of electrical energy to power its data centers across the country and world. Now it has created a subsidiary, Google Energy LLC, and applied (pdf) to the Federal Energy Regulatory Commission to become a utility-scale energy trader. Google's stated aim is to be able to purchase renewable energy directly from producers at bulk rates, pursuing its goal of becoming carbon neutral. It is likely that Google Energy would also permit Google's own renewable energy projects to sell their energy at more favorable rates. Google reportedly does not have plans to actively become an energy broker, a la Enron."

Comments

Nope, it's the spread.

[Anonymous Coward]

It's the spread between the money Google collects up front from advertisers and the money it rarely pays out - how many people actually click on ads? I don't.

It's a great racket:

Hey advertisers! Get word sensitive ads placed next to topics that people are actually looking at! - They collect the money from the advertisers.

Now do the folks hosting the ads get the money? Not unless someone clicks on the ads, otherwise they get nothing from Google.

Brilliant move on Google's part.

It's even better than the extended warranty racket!

Re:Tornado Alley Could Be the New Middle East

[rickb928]

I lunch with an economist. You and I are not economists. But he's teaching me.

"Google's stated aim is to be able to purchase renewable energy directly from producers at bulk rates, pursuing its goal of becoming carbon neutral."

Sure. price has nothing to do with it. Uhuh. Color me cynical.

"ten years from now we the consumers might be enjoying a price war between wind power fields generating electricity on equipment that has been paid for and now just needs maintenance fees."

Same argument for nuclear power in the 60s. 'too cheap to meter'. I predict the same results for windpewer.

"slowly amortized back up to very profitable and freaking awesome for ma and pa corn grower. The economy would go nuts if you could alleviate energy costs for everyone."

Price has little to do with cost. It is the market. If oil- and coal-generated electicity is sold for 14/kwh, nuclear power can sell for the same, no problem. Why would windpower outfits sell for less than, say, 11/kwh? They are leaving money on the table. Not many corporations do that.

"industries that will be negatively affected (coal, gas, etc) by these price wars will have the time to realize and change or better yet invest in their own wind farms"

Or different petroleum supplies. Or nuclear. Or something else. Don't think they will choose for any other reason than profits.

"tornado alley could in fifty years become the new middle east and we'll be fighting wind wars over South Dakota and Kansas."

Um, California, Iowa, and a lot of other places have more potential. The wars in South Dakota and Kansas will be over migratory birds and turbine kills, noise (even in the middle nowhere, trust me on this), and the blight. Billboards are bad enough. Wind turbines are not pretty to everyone.

"Overly optimistic? Of course. A little unrealistic? Well, a man can dream, can't he? A man can dream."

Cling to your optimism. If it is all you have left, they can't take it away from you. Of course, you can give up. I just howe you don't.