Why do power costs fluctuate so much?
It’s basically supply and demand. In today’s energy marketplace, wholesale electricity is a commodity that’s bought and sold much like soybeans or crude oil. When consumers use a lot of electricity – typically when we start our day and around dinnertime – the market cost of electricity is much higher. But at night, on weekends, and on holidays – when overall demand for power goes down – real bargains are available.
