Given the wide range of power generation sources currently in use, there is a need to re-evaluate how tariffs and prices are modeled.
This is simply because significant changes have occurred in the power mix, yet the cost calculation method has not been updated.
I suggest that prices and tariffs reflect actual incurred costs—which, for renewable sources, are primarily based on kW (fixed cost per month)—rather than on kWh, as established decades ago.
Along these lines, a fairer system would base both tariffs and prices on the investment cost per kW, which is by far the largest cost component.
Until this happens, we will see growing discrepancies that end up being indiscriminately shared among everyone, as there is currently no cost-based meritocracy.
If you would like to explore this rationale further, please feel free to contact me for the associated consulting.