- Sep 17, 2019 3:00 pm GMT
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Momentum to secure long-term energy capacity by Green Buyers continues to accelerate, as indicated by the linked article below. States are taking the lead in acknowledging this mass migration into renewable energy by Companies and are taking steps to prepare for the future. Yet, wholesale energy markets seem determined to look away from this elephant in the room and are trying to patch together their decaying capacity markets with secondary auctions, and other band-aid approaches, that will likely prove incapable of saving the "capacity market auction ship". A new proposal has been submitted to NAESB describing an Always on Capacity Exchange, for consideration as a 2020 Annual plan item, that is designed to accommodate growing volumes of renewable energy capacity, co-optimized with the procurement of "prioritized grid services" that are needed for grid reliability, using a market-based mechanism within a wholesale market operation. A detailed presentation of the strawman proposal is available here.