They can’t, if you have a functioning market economy.
There should be competition and renewables, due to their more decentralized nature even incite competition.
You seem to assume that mergers and acquisitions are not an essential part of a market economy. Left to their own devices, capitalists will always end up trying to form monopolies. You need a strong regulatory state to keep them in check. But then because they are inexorably pulled towards maximizing profitability, they will try to capture the state and deregulate. So, unless you go to a very aggressively anticapitalist set of policies a market economy will never be “functioning” for long.
I don’t assume that, and I won’t argue for an entirely free market. I also agree with your observation that accumulation happens, however we might have different views on how long that actually takes. Atm the shift to renewables is disrupting the accumulation we already have in the energy sector, because it requires very little capital to build your own little solar powerplant compared to a fossil or nuclear powerplant (or large hydro, btw.). Same thing for battery storage units. So with renewables, there’s more potential for competition.
That might change again in the future through continued accumulation and shitty policies,
but my point is: as long as we don’t have either monopolies or cartels and thusly competition in the market still exists, even large corporations can’t simply dictate prices to increase their margins.
How about this: “a functioning market economy” is only possibly with strong overshight of a greater authority than “the Market”, which puts the interests of citizens above the interests of businesses.
If left to their own devices the Free Market only ever exists in low barriers to entry and low economies of scale markets, like teddy bears or soap, not in markets were it’s much harder for new entrants and being bigger is always better - and energy generation until recently was very capital intensive and required big power plants or dams located in very specific places so was not a flat-playing-field size-agnostic market and tended towards monopolies and cartels.
Even nowadays with solar, even in those countries were personal generation is viable unless governments have intervened and force it to be otherwise there are barriers for individuals and small companies to sell their self-generated power (for example were I live they get 1/4 of the price selling than they do buying), which are a mix of cost barriers to entry (the cost of a proper converter on top of the cost of the additional panels if you want to go beyond self-consumption), financial structures dominated by and best suited for large companies (mainly the wholesale and consumer markets being separate, with the large companies sitting in the middle and extracting rents from being an intermediary) and even regulatory barriers to entry (the product of governments activelly legislating and regulating to benefit the large energy companies).
They can’t, if you have a functioning market economy. There should be competition and renewables, due to their more decentralized nature even incite competition.
You seem to assume that mergers and acquisitions are not an essential part of a market economy. Left to their own devices, capitalists will always end up trying to form monopolies. You need a strong regulatory state to keep them in check. But then because they are inexorably pulled towards maximizing profitability, they will try to capture the state and deregulate. So, unless you go to a very aggressively anticapitalist set of policies a market economy will never be “functioning” for long.
I don’t assume that, and I won’t argue for an entirely free market. I also agree with your observation that accumulation happens, however we might have different views on how long that actually takes. Atm the shift to renewables is disrupting the accumulation we already have in the energy sector, because it requires very little capital to build your own little solar powerplant compared to a fossil or nuclear powerplant (or large hydro, btw.). Same thing for battery storage units. So with renewables, there’s more potential for competition.
That might change again in the future through continued accumulation and shitty policies, but my point is: as long as we don’t have either monopolies or cartels and thusly competition in the market still exists, even large corporations can’t simply dictate prices to increase their margins.
How about this: “a functioning market economy” is only possibly with strong overshight of a greater authority than “the Market”, which puts the interests of citizens above the interests of businesses.
If left to their own devices the Free Market only ever exists in low barriers to entry and low economies of scale markets, like teddy bears or soap, not in markets were it’s much harder for new entrants and being bigger is always better - and energy generation until recently was very capital intensive and required big power plants or dams located in very specific places so was not a flat-playing-field size-agnostic market and tended towards monopolies and cartels.
Even nowadays with solar, even in those countries were personal generation is viable unless governments have intervened and force it to be otherwise there are barriers for individuals and small companies to sell their self-generated power (for example were I live they get 1/4 of the price selling than they do buying), which are a mix of cost barriers to entry (the cost of a proper converter on top of the cost of the additional panels if you want to go beyond self-consumption), financial structures dominated by and best suited for large companies (mainly the wholesale and consumer markets being separate, with the large companies sitting in the middle and extracting rents from being an intermediary) and even regulatory barriers to entry (the product of governments activelly legislating and regulating to benefit the large energy companies).