Real-time pricing and the cost of clean power

Arbeitspapier

Solar and wind power are now cheaper than fossil fuels but are intermittent. The extra supply-side variability implies growing benefits of using real-time retail pricing (RTP). We evaluate the potential gains of RTP using a model that jointly solves investment, supply, storage, and demand to obtain a chronologically detailed dynamic equilibrium for the island of Oahu, Hawai'i. Across a wide range of cost and demand assumptions, we find the gains from RTP in high-renewable systems to exceed those in a conventional fossil system by roughly 6 times to 12 times, markedly lowering the cost of renewable energy integration.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Graduate Institute of International and Development Studies Working Paper ; No. HEIDWP17-2022

Classification and Topics

• Classification: Wirtschaft ; Energy: Demand and Supply; Prices ; Alternative Energy Sources ; Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
• Subject: Renewable energy ; real-time pricing ; storage ; demand response ; optimization

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Imelda, Imelda ; Fripp, Matthias ; Roberts, Michael J.
• Event: Veröffentlichung
• (who): Graduate Institute of International and Development Studies
• (where): Geneva
• (when): 2022

Further information

• Handle: http://hdl.handle.net/10419/266131
• Last update: 10.03.2025, 11:44 AM CET