About Electricity. Electricity is a vital and versatile energy source, widely used worldwide because of its easy transportation and distribution. Various sources, including fossil fuels such as coal and natural gas, nuclear energy, and renewable sources such as wind, solar, and hydropower are employed for Electricity generation. However, the production cost from each source can vary and significantly impact the price of Electricity.

For instance, conventional power plants that rely on fossil fuels often have stable, but higher operating costs, leading to relatively stable, yet higher electricity prices. On the other hand, renewable energy sources, while they can have higher upfront costs, often have lower operating costs and can lead to more competitive electricity prices over time. Because of that and different tariff policies, the Electricity price varies substantially by country.

It is worth highlighting the industry’s role in the electricity market. The industrial sector is responsible for a considerable amount of Electricity consumption in a country. Industries usually participate in wholesale markets and/or establish contracts with Electricity providers to guarantee a continuous supply and prices below commercial and residential ones. Particularly, baseload plants are essential to provide Electricity over a long time and balance supply and demand continuously. The local power grid ensures the transmission from the generation station to customers.