Prediction Not checkable as stated
Faruqi: Utilities that fail to update rate structures will go bankrupt
“And if they don't change those utilities that don't change them, they'll go bankrupt.”
Insight
Faruqi: Time-of-use rates are a poor fit for heat pumps
“A heat pump, which is both an air conditioner in the summer and a heat source in the winter, will be running precisely when there is a peak situation in the summer or a peak situation in the winter. Actually, it will create a peak demand in the winter that cur…”
Insight
Faruqi: Utilities do not need pilots given 400 existing global trials
“Let's try to actually move to actual implementation, and my advice is you don't really need to do a pilot because we already have 400 pilots across the globe.”
Assertion Not checkable as stated
Faruqi: Oklahoma Gas and Electric led California in dynamic pricing a decade ago
“Oklahoma Gas and Electric, actually about 10 years ago I discovered That Oklahoma was ahead of California when it came to dynamic pricing”
Insight
Faruqi: Electric vehicles, not smart meters, drove time-of-use rate adoption
“The change that came was through a technology. Not digital meters, but through electric cars. Electric cars, or EVs as they're called, were the defining moment. Customers finally realized That they can lower their charging cost if they just charge during the o…”
Insight
Faruqi: Net grid load impact of DERs remains uncertain
“Some of them will raise load growth, EVs and heat pumps certainly being those two. But then there are other DERs which will lower load growth, like energy efficiency, demand response, and certainly solar. So what will be the net effect of those is anybody's gu…”
Prediction Held up
Faruqi: Solar generation will push electricity peak hours into late night
“The peak will keep on going into the later evening, early nighttime hours, and the off peak will be in the middle of the day when the sun is shining and you have a lot of solar generation, both supply side and customer side.”
Prediction Not checkable as stated
Faruqi: Technical jargon like 'real-time pricing' is guaranteed to fail with customers
“Using terms like real-time pricing, terms like locational marginal cost real-time pricing, I mean, that's guaranteed to fail.”
Assertion Supported
Faruqi: Missouri rejected aggressive default dynamic pricing after political backlash
“One utility tried it. Actually, one state tried it with Missouri, and then they rejected it because of the political crisis that they were about to precipitate.”
Assertion Supported
Faruqi: Australia Introduced Afternoon Off-Peak 'Sponge Tariffs'
“In Australia, they have introduced what they call the sponge tariff, and it is basically the off-peak period is now in the afternoon as opposed to at night”
Insight
Faruqi: Dynamic electricity pricing operates like Uber surge pricing during critical grid shortages
“Dynamic pricing says, well, but on a hundred to 200 hours of the year, the system, the power system has a critical condition. There might be outages because there's a shortage of supply, and therefore in those few hours, 100 to 200 hours, we have to have even …”
