Mr. John Lawlor:

It just follows the laws of physics. It is not that it does not go through the meters. Everything is still accounted for through the meters at everybody's residences. This is why I did not want to get into the technicalities. What happens is the assumed losses on the system are reduced. Generators generate electricity and in the old days it went from big generators through the transmission system and the distribution system and into people's houses. The process of sending the electricity and transporting it creates losses. Producing electricity in the system creates minus losses. This is how it is treated in the system.