1 Explain why trading power between utility companies is a c

1. Explain why trading power between utility companies is a common occurrence.

Solution

The power which is generated by the power plants is supplied to the grid in grid two or more power plants are interconnected all the power plants will supply power to the grid from grid the power is supplied to the substations then to the customer end sometimes the power which is generated by the power plant will remain that is somtimes the power consumed by the custmer will low and therefore some units of power will be left so this power will be sold by the grid to other companies who requires the power so therefore trading occurs between the companies.