> Peaking power plants, also known as peaker plants, and occasionally just "peakers", are power plants that generally run only when there is a high demand, known as peak demand, for electricity.[1][2][3][4] Because they supply power only occasionally, the power supplied commands a much higher price per kilowatt hour than base load power. Peak load power plants are dispatched in combination with base load power plants, which supply a dependable and consistent amount of electricity, to meet the minimum demand.
> Although historically peaking power plants were frequently used in conjunction with coal baseload plants, peaking plants are now used less commonly. Combined cycle gas turbine plants have two or more cycles, the first of which is very similar to a peaking plant, with the second running on the waste heat of the first. That type of plant is often capable of rapidly starting up, albeit at reduced efficiency, and then over some hours transitioning to a more efficient baseload generation mode. Combined cycle plants have similar capital cost per watt to peaking plants, but run for much longer periods, and use less fuel overall, and hence give cheaper electricity.
> As of 2020, open cycle gas turbines give an electricity cost of around $151-198/MWh.
The issues is that the natural mechanism that incentivises the private sector to provide peak capacity is what some people call 'price gauging'. And that's a big taboo for 'sacred values' like anything to do with medicine or health.
I don't think this would work here though, since enlisting to work in a covid ward is a hard sell when you're not being drafted, and standard of care would suffer with all the inexperience.
Substantially raising nursing pay and increasing the powers of nurse practitioners would be a good idea though.
Many people would happily do some courses (and plenty of refreshers) to be a stand-by nurse or doctor who only gets activated for a few weeks every few years, if they get a few tens of thousands of dollars for that trouble.
Let's do some napkin math for my area: if you started such a company in 2008 and paid your doctors minimum wage to stand by and keep themselves trained, but not actually do any work, one such doctor would've cost you around 100k € until the start of the pandemic. I remember hearing some official on the TV saying we'd need another 300 doctors to keep everything running smoothly. Let's half that. Congratulations: your company is 15 million € in debt. Let's call it 20M € because obviously you need to make yourself at least a little rich too. So that's the bill you need to give the government in order to break even: 20M € for 150 under-trained medical personnel with basically zero work experience. Not a good business model, imo
Power plants are major capital investments. That capital has opportunity costs when it's just sitting idle. (Add in maintenance and deprecation etc.)
To continue the discussion, we should have a look at the economics of peaker plants.
> Let's do some napkin math for my area: if you started such a company in 2008 and paid your doctors minimum wage to stand by and keep themselves trained, but not actually do any work, one such doctor would've cost you around 100k € until the start of the pandemic.
Duh. Just because you (or me) can't come up with a decent business plan in two minutes of thinking, doesn't mean none exists.
First of all, I doubt any sane plan would involve paying people to sit on their hands and do nothing.
I imagine, you'd pay people a basic retainer to stay ready, and probably pay for their refresher courses every so often.
For some people, paying for the initial education and refresher courses alone would be payment enough to stand-by (and then a fat bonus, if they are actually called into action).
Silly example: someone who otherwise works as a nanny or with kids in general might want to be able to boast that they are fully qualified as a nurse and receive regular training.
(Flight attendants also usually come with some basic medical training already. And they were rather underemployed during this pandemic. So they might be good people to approach about such a retainer scheme.)
Smarter people than me will probably come up with better business plans.
Eg you might want to differentiate candidates by how quickly they could jump in. Being ready with 24h notice is much more demanding, than being able to be ready within a month. But the latter would still be useful, because training medical personal from scratch takes longer.
Some regulations are useful, some are insane. But going with a fine toothed comb over which is which would be too much for a short comment.
The core argument that I was addressing was that somehow the private sector wouldn't be able to provide peak capacity, ergo the government would by default do a better job.
Your further example of dropping the certification requirements to something sensible, perhaps at the simplest even by just allowing nurses to do more of what only doctors are allowed to do at the moment, would apply about equally well in a government hospital as in a privately run one.
Similar actually for how to organise stand-by/peak duty, even down to how you pay your personnel. Main difference is that I would assume that privately run outfits would (have to) pass on the extra cost at peak into 'gauged' prices, and governments would just make the tax payer swallow the pill. (Or more likely, would also just accept doing a bad job and having a bad system in place. Especially if they ban the competition.)
Can't they do research when idle?