Monkey Business Tesla and The SGIP in California

I reported that Tesla Motors is on the gravy train to extract lots of money from electricity rate payers in California that our disgraced CPUC doles out under the Self Generation Incentive Program (SGIP).  I reported that Tesla has asked for $143,603,293.76 for 83,433.53 kw of battery storage under the SGIP.  Tesla or their agent Solar City claimed they will spend a total of $262,658,673 for these fully installed power storage unit at homes, offices, stores, and even the Government.  This equals a unit installed cost of $3,148.12 per kw.

Now the zinger.  Let’s say the systems have an eight year life and let’s pretend that money has no time value to earn interest or profits.  The amortized value per year of the power storage systems is $393.51 per kw per year (equals $3,148.12 divide 8).  Let’s assume that the batteries are cycled such that 400 kwh of power are charged and discharged each year (400 cycles a year 3,200 cycles in 8 years) into the grid or taken from the grid.  This is a cost of 98 cents per kwh just to amortize the storage system without interest or profit.   Being kind let's assume the storage can be cycled 800 times a year for a total of 6,400 cycles over their life.  Even then this adds 49 cents per kwh without interest or profit. 

Simply put the idea is lunacy and only flies because the CPUC gives away so much money paid by poor and middle class ratepayers to support the gangrene idea.  I have told the CPUC that they are again not looking out for the interests of the people they are mandated to protect.

The green press and the business press are all excited that Elon Musk said he would reveal his new business.  If the business is this battery storage of grid power nonsense then we know that he is up to Monkey Business with the CPUC.  Marilyn Monroe, Cary Grant, Charles Coburn, and Ginger Rodgers once starred in a movie titled Monkey Business.  Elon Musk, Jerry, Brown and the full CPUC are starring in the remake.  The original version was a comedy the remake is a tragedy!