The UK smart meter transition: industry structure, market power, and interoperability

The UK government started an energy digital smart meter rollout in 2008, an “… £11bn scheme to put 53m devices in 30m homes and small businesses by 2020” to yield an estimated gross benefit of £16.7bn. Calling the rollout a disaster would be generous — it’s behind schedule, about £1bn over budget, and full of technical … More The UK smart meter transition: industry structure, market power, and interoperability

Dynamic pricing is everywhere … even NPR

Chicago’s National Public Radio affiliate, WBEZ, started their fall/winter pledge drive earlier this week. As usual, the station offers a range of “thank you” gifts, with different gifts for different donation amounts. Going beyond the ubiquitous tote bag and coffee mug, this year WBEZ offers a stylish black and red (good color combo when you … More Dynamic pricing is everywhere … even NPR

The political economy of Uber’s multi-dimensional creative destruction

Over the past week it’s been hard to keep up with the news about Uber. Uber’s creative destruction is rapid, and occurring on multiple dimensions in different places. And while the focus right now is on Uber’s disruption in the shared transportation market, I suspect that more disruption will arise in other markets too. Start … More The political economy of Uber’s multi-dimensional creative destruction

More frontiers in dynamic pricing: New York parking

Lynne Kiesling Felix Salmon has a very nice microeconomic analysis of a proposal for New York to lease out its parking meters and facilities to a concessionaire, with a contingent contract based on the lessee’s implementation of dynamic pricing. A sample of what makes the analysis good: The masters of variable pricing, of course, are … More More frontiers in dynamic pricing: New York parking

Frontiers in dynamic pricing: spot advertising auctions

Lynne Kiesling According to this Ars Technica story (and a linked Bloomberg article), Facebook is going to offer a new advertising model to its potential advertisers: a spot auction for real-time ads based on changes in current events or time-sensitive things like sporting event results. The service, called Facebook Exchange, will use partnerships with other … More Frontiers in dynamic pricing: spot advertising auctions

Dynamic pricing and technology in different markets

Lynne Kiesling Dynamic pricing has long been a topic of great interest here, in large part because digital technology is increasingly making it feasible to implement dynamic pricing in retail electricity markets in ways that can be acceptable to consumers. But dynamic pricing is fraught with challenges, and not just in retail electricity markets. Dynamic … More Dynamic pricing and technology in different markets