Negative Energy Pricing

Negative Energy Pricing

Negative Energy Pricing

08/11/18

“Can energy become so cheap that prices become negative?”

 

The more supply relative to demand that cheaper a product is. And energy is no exception to the rule. States such as Germany, California, and Hawaii are now generating so much energy from Distributed Energy Resources and conventional power during low period times that electricity prices are going negative! To avoid great imbalances, these areas are now selling their energy to neighboring states to create grid balance.

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