4 ms·
Day ahead isn't enough. Need capacity markets & year ahead futures from what I remember last time I read up.
by andromeduck 3y ago
Day ahead isn't enough. Need capacity markets & year ahead futures from what I remember last time I read up.
- everybodyknows 3y agoCalifornia providers are required to purchase "Resource Adequacy" contracts. Those that are badly managed try to dodge the expense, rather like operating a business without insurance: https://thecoastnews.com/cpuc-issues-over-1-million-in-fines-to-san-diego-community-power/ https://thecoastnews.com/cpuc-issues-over-1-million-in-fines...
- mschaef 3y agoIIRC, the only US ISO without a capacity market is ERCOT (TX). They let the marginal rates go higher on the theory that it will create an incentive for construction of generation to address anticipated capacity constraints.