Renuary

Archive

  1. #1

    Explainer

    Why electricity can't be stored up, and how that shaped the market

    Electricity has to be used the moment it is made, so supply and demand must match at every instant. That is why the power market decides a day ahead who runs how much in each hour, and the system operator balances the rest in real time. Capacity payments for standby plants and an SMP that changes by the hour both follow from this.