Tech
To fix broken electricity markets, stop promoting the wrong kind of competition
Competition is seen as a panacea in electricity markets: if only we had more, prices would be lower, and investment and supply security would be higher.
Politicians love this story because it offers respite when electricity prices rise. Just unleash regulators and competition authorities to “fix” competition barriers—problem solved (for now).
Encouraging retail competition becomes a priority. Consumers are slow to change retailers, even if they could save hundreds of dollars a year, which is seen as a brake on competition.
Regulators and policymakers therefore champion price comparison services and other measures to encourage electricity customers to shop around.
Also, standalone retailers often protest that they can’t access generation from their rival “gentailers”—firms that combine electricity generation and retailing—on fair terms.
If only they could—and customers more keenly switched providers—retail-only companies could provide stiffer competition. Their solutions include lobbying for gentailers to be broken up, or be forced to supply retailers on the same terms as the gentailers’ own retail arms.
The trouble is, if we misidentify the causes of lackluster electricity market competition, our solutions may only make things worse.
Rather than the lack of competition being about too little customer switching and barriers to retailers entering the market, the more likely cause is too much of both.
Hit-and-run retailers
For the big gentailers (such as New Zealand’s Mercury, Meridian, Contact and Genesis) to face more competition, we need either more gentailers or other ways to achieve the benefits of gentailing. Those benefits are twofold:
- combining generation with retailing effectively manages the huge risks standalone generators or retailers face when they buy and sell on wholesale markets, where prices are highly volatile and can rise to levels that kill businesses; in turn, this helps gentailers finance investment in generation
- and gentailers only need to add one profit margin to their generation cost when setting retail prices; separated generators and retailers add separate margins, which can accumulate to more than what gentailers alone charge.
Separating generation from retailing is therefore a bad idea—if you want lower prices and better investment, you probably want more gentailing.
But why can’t separated generators and retailers replicate these gentailing advantages through long-term contracts? Because generators incur large investment costs to be recovered over many years, so to finance their investments they need long-term revenue security.
Standalone retailers can’t credibly sign contracts offering that security. If they do, new retailers (which can be set up relatively cheaply) can steal their customers when wholesale prices fall below the level of those long-term contracts.
If retailers do sign long-term contracts with generators, they risk failing when exposed to such “hit-and-run” competition by rival retailers—or they renege on those contracts to survive.
Generation investors see this coming, so don’t contract long-term with standalone retailers. Result: lack of viable investment and competition by separated generators and retailers.
The right kind of competition
To resolve this, we would need to eliminate hit-and-run retail entry—first, by making it harder for customers to change retailers if wholesale prices fall below long-term contracted prices.
This could be achieved by requiring retail customers to sign up to long-term retail contracts themselves, rather than being able to flexibly change retailers. Ironically, price comparison websites take us in the wrong direction.
Second, new retailers could be required to have either their own generation—be gentailers, in other words—or have long-term supply contracts in place with generators.
Counterintuitively, this actually makes it easier—or at least more sustainable—for retailers to enter the market, because they know they won’t face hit-and-run competition if they do.
This also means generators can more confidently sign long-term contracts with retailers. Retailers wouldn’t then need to convince regulators to force gentailers to supply them, as they can secure their own supply through contracting.
Standalone retailers might object that they would do this now if they could. But generators can’t supply standalone retailers given the current long-term contracting uncertainty.
Fix that uncertainty—by increasing the ability of retailers to commit to long-term contracts—and both generators and retailers win. Ultimately, this means gentailers face more credible competition, which also means consumers win.
By discouraging the wrong kind of competition (rather than promoting it), genuine competition can be made more durable and effective. That would support long-term investments by generators, and also investments by retailers in innovative services that benefit consumers.
Neither is possible when customers can change retailers with ease, and retailers face hit-and-run competition. If we want more competitive electricity markets, we need to encourage the right type of competition—by discouraging the wrong type.
This article is republished from The Conversation under a Creative Commons license. Read the original article.
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To fix broken electricity markets, stop promoting the wrong kind of competition (2025, September 6)
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Tech
Can a Home Appliance Fix the Problem of Soft-Plastic Waste?
Soft plastics are notorious for jamming sorting machines, slipping through processing lines, and wreaking havoc on the environment. They’re also not accepted in most municipal curbside recycling programs.
Facilities for recycling these types of plastic exist, but getting waste to these locations clean and free of what some call “wishful recycling” items (compostable cups, plastic utensils) is such a challenge that the majority of soft plastics, even the bags recycled at the front of grocery stores, end up in the trash. The SPC is what Arbouzov calls a “pre-recycling device,” designed to simplify this stream and deliver plastic that’s contained, traceable, and more likely to make it through the system.
I tried to envision how the blocks would turn into patio furniture, as advertised, but didn’t learn exactly how until months later, when Arbouzov sent me a video of the blocks at their final destination—a facility in Frankfort, Indiana, that specializes in processing polyethylene and polypropylene films. The blocks get shredded into crumbles resembling, at least on video, handfuls of wet newspaper, which are then compressed into composite decking, chairs, garden edging, and more.
Courtesy of Clear Drop
Courtesy of Clear Drop
“The full cycle from mailing a block to it entering recycling processing typically takes a few weeks,” Arbouzov said, “depending on shipping time and batching schedules.” Right now, the Frankfort location is the only facility processing the blocks, but Arbouzov said he hopes this is only temporary.
“Our goal is to shift more of this processing closer to where the material is generated, so blocks can move in bulk through regional recycling infrastructure rather than through mail-based logistics,” he said. “The mail-back system is essentially a bridge that allows the material to be captured today while that larger infrastructure develops.”
Recycling, Rewired
I found that my household of three was able to produce a block every couple of weeks, which quickly outpaced the provided supply of mailers. As the blocks started piling up on the floor of my office, I found myself wishing the SPC made something useful for consumers. Spoons, straws, 3D-printing filament … anything that could be used at home.
However, a 2023 Greenpeace report found that recycling plastic can actually make it even more toxic than it already is—heating it can not only cause existing chemicals to escape into the air and water supply, but even create new ones, like benzene. Would I want this in my house? Does recycled plastic actually belong in a circular economy? I asked Arbouzov what he thought.
Tech
Can Modular Phone Accessories Finally Evolve Beyond MagSafe?
Predating the launch of Moto Mods in 2016, the first batch of Jolla The Other Half concepts included back covers with an extra E Ink display, an infrared camera, and an Angry Birds tie-in that activated themes and ringtones. But probably the most popular was a Blackberry/Nokia Communicator-style slider keyboard made and sold by two entrepreneurs from the original Jolla community. That trend is back in—at CES 2026, accessory company Clicks showed off a magnetic keyboard accessory you can slap on the back of any Qi2 or MagSafe smartphone, though it uses Bluetooth for connectivity.
Quite a bit has changed in what’s achievable, not least more bandwidth, more capability, and more accessible, high-quality 3D printing. “We have seven pogo pins [on the Jolla Phone] which give you the capability to get power out and power in,” says Jolla CEO Sami Pienimäki. “So you can do maybe wireless charging, and you can power external circuit boards.” Pienimäki imagines E Ink interfaces or low-bandwidth radios on the back of its upcoming phone—it has an I3C interface, which delivers bit rates up to 12 megabits per second, allowing data to flow between the phone and the mod, enabling new kinds of smarter modular accessories.
Jolla has promised to release the final phone specifications by the end of the month, with shipping due for the first preorder customers at the end of June. Pienimäki teases that it’s “tempting” for him to release one of Jolla’s own internal concepts for a TOH back cover even earlier as “a showcase of what you can actually do.” (The Jolla Phone doesn’t have FCC approval in the US, but the company is considering a US launch in the future.)
With more than 10,000 preorders since December 2025, Jolla is back in business but still far from mainstream. So why, despite plenty of internet hype over the years, did truly modular phones never quite take off?
“During the LTE days, there was thinking that these devices would morph into ‘cloud phones,’ where the rest of the phone could be cost-optimized,” Fieldhack says. “Swappable parts and lower costs, as most of the compute would be done in the cloud.”
But things changed as flagship phones went from costing $350 to around $1,000. Both the camera and media production and consumption became much more important: “Great displays, great cameras, multiple cameras, more memory, better sound and mics, as well as more elegant and thin devices—this is not easily done on a modular smartphone,” Fieldhack says. “There are huge compromises, and phones are thicker and heavier with less performance. Then, agentic AI, on-device for lower costs and better security, made modular design even less optimal.”
Repairable Modules
One strong and emerging argument for true hardware modularity is repairability. Another European smartphone maker, Fairphone, has been making that case for over a decade. “It’s about thinking about how do we group the actual phone itself into modules?” says Fairphone chief technology officer Chandler Hatton. The latest FairPhone Gen 6 smartphone is made up of 12 modules. A customer sitting at the kitchen table with a single T5 screwdriver (included) and a guitar pick can repair the phone quickly, easily, and cheaply.
Tech
BT boosts connectivity, security for Northern Ireland Electricity Networks | Computer Weekly
BT has announced a 10-year deal worth up to £200m with Northern Ireland Electricity Networks (NIE Networks) to deliver enhanced connectivity, cyber security and IT to support critical services for homes and businesses across the country.
Established in 1993, when the business was privatised and employing over 1,500 people, NIE Networks is responsible for the safe, secure and reliable supply of electricity to 966,000 homes, farms and businesses across Northern Ireland, and is also the operator for its distribution network.
The business was acquired by Irish energy company ESB in December 2010, and operates as an independent organisation with its own board and management teams, and separate regulation via the Utility Regulator for Northern Ireland.
NIE also owns the electricity network across the province, consisting of approximately 2,300km of transmission network and 58,800km of distribution network with 340 major substations, investing around £100m in the network each year.
Electricity networks are part of the critical infrastructure that keeps Northern Ireland running, and they rely on technology that is secure, reliable and resilient by design. Fundamentally, the deal will support NIE Network’s digital transformation, which aims to modernise the key services and infrastructure that provide electricity across Northern Ireland.
Technologically, the partnership with BT is designed to provide the energy company with a suite of services including improved network infrastructure, strengthened connectivity and a team of dedicated professionals to guard against cyber security threats. BT will also be responsible for ensuring high-quality service and support across the business, day-to-day management of network infrastructure, and data hosting.
Initially, the contract will run for five years, with the option to extend by up to another 10 years. Another key component of the deal will be supporting local jobs, building digital skills and creating supply chain opportunities across Northern Ireland.
The deal is also intended to enable a move to more sustainable infrastructure and networks, supporting NIE Networks to reach their sustainability and net zero ambitions.
“This multi-year partnership is a win-win for Northern Ireland’s economy, supporting local jobs, skills development and supply-chain opportunities,” said Rohan Kapoor, chief information officer of NIE Networks.
“The collaboration will also help meet Northern Ireland’s energy needs, increasing our technological capabilities and enabling further electrification, renewables integration and emerging flexibility markets, all of which have a positive impact on the Northern Ireland economy and the NI Executive’s net zero targets.”
Chris Sims, chief commercial officer at BT Business, said: “Electricity networks are part of the critical infrastructure that keeps Northern Ireland running, and they rely on technology that is secure, reliable and resilient by design. That’s where BT comes in. With evolving cyber threats, protecting essential services is more important than ever, and organisations rely on digital connections they can trust.
“With our experience in supporting critical services and our long-standing presence in Northern Ireland, we are in a unique position to provide the secure, trusted connectivity and specialist expertise that will help strengthen the network for years to come.”
BT Group has a large presence in Northern Ireland, employing more than 3,400 people, and says that its work provides an economic boost of £630m in the country. In 2023, it officially unveiled a multimillion-pound refurbishment of its flagship Belfast Riverside office, boasting technology and collaboration spaces for colleagues from its EE, BT Business and Openreach units.
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