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Monthly Archives: May 2011
Heads I Win, Tails You Lose: What to Do When Wind Doesn’t Perform as Promised
Wind generation is unpredictable. Seldom is the production exactly equal to the specified rate. It reminds me of Goldilocks and the three bears, “Too hot, too cold, but seldom just right.” Most utility approach unscheduled flows of electricity by punishing the provider for any imbalance. “Heads the utility wins. Tails the generator looses.” A better approach uses the total imbalance on the utility to determine how imbalances are priced. Continue reading
Posted in Electricity Economics
Tagged Electricity, Generation, Markets, Renewable Energy, Renewable Power, Wind Power
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