Clearing price for supplying power to Texas grid –$31.65

Re:Clearing price for supplying power to Texas grid –$31.65 by underwater on Sunday February 21, 2021 @04:31AM (#26212119)

I don't see how the free market could have ever succeeded here. Even if it somehow accounted for events of the last week: the lost lives, damaged properties, and economic impact, it was billed as a once-in-100 year event.

Which company is going to take a hit to their profits each quarter so they can prepare properly? The companies who don't will be more competitive and successful right up until a freak event actually occurs. And if that happens, the absolute worst case is the your under prepared company goes under. Unlimited upsides and very limited downsides.

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Re:Clearing price for supplying power to Texas grid –$31.65 by godtoldmetodoit on Sunday February 21, 2021 @04:56AM (#26212215)

If generators were required to be winterized in order to access the market, that would have solved the problem.

No individual company will take the profit hit without a regulation forcing all the actors to do it.

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Re:Clearing price for supplying power to Texas grid –$31.65 by mplanchard on Sunday February 21, 2021 @12:06PM (#26215101)

I agree with your point, but want to point out that this last happened in 2011, and before that in 1989. Certainly not a 100-year event, and likely to become more frequent.

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