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From a grid stability point, you can’t produce more than is used, else you get higher frequencies and/or voltages until the automatics shut down. It’s already a somewhat frequent occurence in germany for the grid operator to shut down big solar plants during peak hours because they produce way more power than they can dump (because of low demand or the infrastructure limiting transfer to somewhere else)
Negative prices are the grid operator encouraging more demand so it can balance out the increased production.
As someone with a technical background this is the stupidest problem with solar that I don’t get… just turn off the panels in groups until generation is closer to demand… how have engineers not figured that out. And if they have why does this still get written about.
Someone is an idiot. Maybe it’s me?
I’m adjacent to this problem, so I have a little context, but am not an expert at all.
To my knowledge, we don’t have granular control over panels. So we can shut off legs of a plant, but that’s a lot of power to be moving all at once.
Instead, prices are set to encourage commercial customers to intake more power incrementally. This has a smoother result on the grid, less chance of destabilizing.
A customer like a data center could wait to perform defragmentation or a backup or something until the price of power hits a cheap or negative number.
If only there were some way to take energy made from sunshine and store it in some form for later. Like in a battery. Or as heat. Or in a flywheel. Or just use the energy for something we’d really like to do as cheaply as possible. Like sequester CO2. Or desalinate water. Or run industries that would otherwise use natural gas.
Seriously if it was free for me to run a hot tub I would be a more relaxed person…but somehow these negative power prices never seem to trickle down to the consumer 🤔.
It still costs real money to maintain the infrastructure; so even if the power was always free; you would still have to pay something to cover the maintenance costs.
Literal free goddamn energy from the sky and these greedy fucks are going to burn the world down because they can’t flip it for a buck
It sounds dumb, but because you can’t turn off solar power, if it produces more then you need, you have to use it somehow or it can damage equipment. Hence the driving prices into negative territory. It’s a technical problem more than it is a financial one.
It is a financial problem. Technically you can just cover the solar panels. But that’s not good financially.
Your “technically you can” is actually a huge logistical nightmare to implement.
Having electricity rates go really low is intended to incentivize people or companies to sink the excess energy to wherever they can. And also to discourage producers to produce more at that hour, if they are able to.
