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> Coal power plants close because there are cheaper ways to make electricity now, not because demand dropped. The price for power is set by supply and demand.
by fshbbdssbbgdd 6y ago
> Coal power plants close because there are cheaper ways to make electricity now, not because demand dropped.
The price for power is set by supply and demand. Increased demand for power increases the price. This means that coal plants can afford to operate depending on the amount of demand.
Here’s a story about coal plants closing due to lower demand: https://www.google.com/amp/s/www.wired.com/story/the-covid-19-economic-slump-is-closing-down-coal-plants/amp https://www.google.com/amp/s/www.wired.com/story/the-covid-1...
Here’s another article about how natural gas plants are replacing coal and nuclear:
https://www.mckinsey.com/industries/electric-power-and-natural-gas/our-insights/the-future-of-natural-gas-in-north-america# https://www.mckinsey.com/industries/electric-power-and-natur...
Any increase in demand for power will increase carbon emission by keeping coal plants from shutting down, building more natural natural gas plants, and keeping those plants online more often. Renewables are important, but only satisfy a minority of demand for electricity.
- scotty79 6y agoCan't argue with that. Low power demand accelerates decommissioning coal based power plants that was planned already. We save some CO2 with that short term. But demand will bounce back eventually after the pandemic and things will not get better without significant investments in power generation. And massive demand is what drives the investment. In CO2 free future we'll have all of home heating running on electricity and all of our transportation too. Power generation needs incredible amount of investments over the next 50 years. I believe crypto mining might drive those investments so we are ready for that future. Even now there are instances where flexible demand of crypto miners helps balance the grid now: https://www.bloomberg.com/news/articles/2020-09-01/bitcoin-miner-is-scoring-700-profits-selling-energy-to-grid https://www.bloomberg.com/news/articles/2020-09-01/bitcoin-m...