Re:BHP says battery electric cheaper than hydrogen as it dum...
by gruez on Monday July 31, 2023 @11:59AM
(#36944628)
> Question is always: what's externalized and what isn't?
In many (most?) electricity markets this is a non-issue because on the producer side, the price they get is determined by a spot market. Rather than every producer getting paid $0.05/kWh (or whatever) all the time, the price is calculated every hour/minute according to supply and demand. That means producers that generate electricity when there's an abundance (eg. renewables on a windy/sunny day) are penalized accordingly, and producers that generate electricity when there's a shortage (eg. peaking fossil fuel plants) are awarded accordingly.
In many (most?) electricity markets this is a non-issue because on the producer side, the price they get is determined by a spot market. Rather than every producer getting paid $0.05/kWh (or whatever) all the time, the price is calculated every hour/minute according to supply and demand. That means producers that generate electricity when there's an abundance (eg. renewables on a windy/sunny day) are penalized accordingly, and producers that generate electricity when there's a shortage (eg. peaking fossil fuel plants) are awarded accordingly.