DominicElectricity pricing: does anyone know what happens to the “extra” money that we pay?
For each 1/2 hour period, the wholesale price of electricity is set by the most expensive source needed at the time, so if, on a sunny and windy day, 80% of the grid’s power comes from cheap renewables, but 20% comes from expensive gas, then for that 1/2 hour period, the electricity price is set by the gas generation price. So who pockets the rest???
For each 1/2 hour period, the wholesale price of electricity is set by the most expensive source needed at the time, so if, on a sunny and windy day, 80% of the grid’s power comes from cheap renewables, but 20% comes from expensive gas, then for that 1/2 hour period, the electricity price is set by the gas generation price. So who pockets the rest???