This one is for the electricity market geeks!
Most observers of electricity markets are well aware that adapting them to the new kinds of technologies and policies needed for the energy transition is an ongoing project with no simple answers. Even if there were simple answers, it would be hard to implement them, because there are so many different market designs in operation already that will have to find ways to accommodate these reforms.
But perhaps by thinking about the specific attributes of electricity contracts, and how various kinds of contracts serve different purposes, we can begin to understand the ways they can help meet the needs of diverse market participants and properly represent the value of disparate resources. In this episode, energy researcher Eric Gimon returns to the show to share his conceptual framework for how electricity markets can function in the energy transition, and how those concepts can be applied to the markets we have today. We start by addressing the zombie theory of “value deflation” in solar, and end up in a very heady conceptual space well deserving of this episode’s geek rating of 10!
Eric Gimon consults as a technical expert, research scholar, and policy adviser with Energy Innovation, where he works with the Electricity team to develop innovative thinking on policy solutions for clean, reliable, and affordable electric power in the U.S. More specifically, Eric works on questions of renewable energy integration, both in the context of today’s challenges as well as for future pathways
On Twitter: @EricGimon
Recording date: September 15, 2021
Air date: October 13, 2021
Geek rating: 10