“Profile costs exist due to the fact that wind has bad timing; when the wind is blowing strongly the market isn’t demanding high amounts of electricity and vice-versa.”
With nearly a century of federal government oversight in electricity markets, one might expect the regulatory equivalent of a well-oiled machine, in this case the Federal Energy Regulatory Commission (FERC).
To its credit, FERC has generally given favorable treatment to market-based solutions opposed to top down control. [1] However, the push for green energy has changed how many markets behave for the worse. Far from a well-oiled regulatory machine, we have a Rube Goldberg device that produces curious outcomes. One great example is the way utilities gladly overpay for wind power.
In “Profile Costs as a Component of Integration Costs in Wind Energy”, published in Stanford University’s Comparative Advantage (Vol.…
Continue Reading“Ontario’s government signed contracts with wind generators that guaranteed them 13.5 cents per kWh. Solar generators actually get paid more. So with the Hourly Ontario Electricity Price at around 2.5 cents, someone has to pay for the 11-cent subsidy for wind power. Therefore, the more renewable power generated, the greater the Global Adjustment Tax becomes.”
The love affair between U.S. President Barack Obama and Canada’s Prime Minister Justin Trudeau is largely based on their symbiotic view of climate change and the need to radically alter their respective economies to prevent the hypothesized damage. Some of the Canadian experience with green energy and its cost pre-date Trudeau’s rise to power. Much of the experience comes from power market machinations conducted in the province of Ontario.
Alberta Downturn, Climate Taxation
The most recent Canadian green energy shock is occurring in the province of Alberta where the New Democratic Party (NDP), led by Premier Rachael Notley gained political office a few months ahead of the national election that brought Mr.…
Continue Reading“The CO2 Coalition invites you to take a look at our newly renovated website at www.CO2Coalition.org. Our white papers, scientific research and economic analysis are easier than ever to find and use.”
The intellectual case against climate alarmism is strong and growing stronger. But how best to summarize the state of knowledge about carbon dioxide emissions and CO2 atmospheric concentrations, not only its warming effects, other things the same, but also CO2 fertilization?
Enter a new group, the CO2 Coalition, a 501(c)(3) foundation founded last year to educate “thought leaders, policy makers, and the public about the important contribution made by carbon dioxide to our lives and the economy.”
… Continue ReadingThe CO2 Coalition seeks to engage thought leaders, policy makers, and the public in an informed and dispassionate discussion of climate change, human’s role in the climate system, the limitations of climate models, and the consequences of mandated reductions in CO2 emissions.