Rigged Against Reliables: How Electricity Pseudo-Markets Punish Reliability and Drive Up Costs
It’s common for us to hear that solar, wind are cheaper than coal or gas. Specifically we’ll hear that solar and wind are “bidding” at lower prices than goal or gas. All of this sounds very competitive, like they’re winning on the merits on a free market.
And yet at the same time, something is clearly very wrong. Electricity costs tend to go up the more “cheaper” solar and wind you add. Intuitively we know that it’s wrong to not factor in reliability when you’re comparing prices.
On this week’s Power Hour Alex Epstein interviews Tom Stacy, an electricity consultant who explains how electricity markets are “rigged against reliables”--and what we need to do to make them fair and beneficial.
From Alex Epstein, host of Power Hour:
This week's Power Hour is a best-of episode, featuring a now prophetic interview with energy economist Michael Lynch.
In February of this year, there were many prominent claims that post-pandemic demand for oil would quickly decline and fade.
On this week's Power Hour Alex Epstein interviews Toby Rice, the CEO of EQT, America's largest natural gas producer, about the causes of and solutions to the world's natural gas crisis.
The takeaway: The US could alleviate most of this crisis--if not for anti-gas-infrastructure policies.
On April 27th, physicist Steve Koonin, who worked in the Obama Administration’s Department of Energy, published a challenge to climate catastrophism called “Unsettled: What Climate Science Tells Us, what It Doesn’t, and Why It Matters.”
While the climate catastrophe movement usually ignores...