As more renewable resources, primarily solar and wind, are added to networks across the globe, they make the generation profile more variable while reducing wholesale prices. This, in turn, makes it more challenging for conventional generators, especially those with little or no flexibility to ramp up and down, to remain viable. By contrast, flexible generation and storagereceive a premium for their ability to fill in the voids left by variable generation. By the same token, resources that offer flexibility on the customer-side or behind-the-meter (BTM) such as demand response (DR), are expected to be highly valued as explained by accompanying articles in this issue. This, of couse, is not news. A paper recently published by James Bushnell and Kevin Novan of the University of California, Davis, however, highlights the challenges that the increasing amounts of renewables pose for conventional generators, in particular baseload units, which cannot easily respond to variations in supply and demand.
Renew Economy 30th Oct 2018 read more »