I spent the last 10 years promoting renewable power to my commercial and industrial customers. It’s past time to remove the subsidies. Continuing them by spending borrowed money in order to keep costs down makes no sense!
Are you advocating for removing subsidies on all power generation sources or just renewables? Not attacking, just genuinely wondering since there's a lot of conflicting opinions.
Just the extra incentives offered by the federal government for wind and solar. If this makes the prices for those power sources higher, that will incent additional generation form all sources - the way the market is supposed to work.
The subsidies should be phased out so we don't have this on-again, off-again system. In 2005, the Energy Policy Act was bipartisan, 2007, too. And in 2015 tax credits were extended by a Republican Congress with a Democratic President. If you really want the subsidies ended, it should be done in a bipartisan manner to make sure it doesn't harm consumers and the economy in the short term, and to ensure the policy is durable.
“On an unsubsidized $/MWh basis, renewable energy remains the most cost-competitive form of generation.” If true, it appears that the government's subsidies for the past twenty years or so have had their intended effect. The market has been transformed. Not sure I understand the need for continued subsidies.
Phil, like I said in the article, it's important to phase them out. One out of six Americans are in arrears... not just struggling but behind in paying energy bills. And we need low cost power to avoid a recession and be competitive globally. Spiking energy prices is not a good idea. Ramp them down, don't abruptly end them.
“On an unsubsidized $/MWh basis, renewable energy remains the most cost-competitive form of generation.” This is ONLY true if you ignore the cost of dispatchable electricity which must provide power when renewables cannot, and include the cost of transmission lines to take the renewable power from where it is most effective to where it is needed to the true cost of renewable power. And BESS raises costs because they must be overbuilt because of short battery life. If ERCOT is going to stick with a market only energy system, and not implement some form of capacity market, the subsidies must be removed.
The levelized cost of battery energy storage systems in 2023 was about $117 per megawatt hour. If you wonder why power costs in the ERCOT grid spike when the sun goes down in the evenings, that’s because those systems are coming online and raising costs.
I spent the last 10 years promoting renewable power to my commercial and industrial customers. It’s past time to remove the subsidies. Continuing them by spending borrowed money in order to keep costs down makes no sense!
Are you advocating for removing subsidies on all power generation sources or just renewables? Not attacking, just genuinely wondering since there's a lot of conflicting opinions.
Just the extra incentives offered by the federal government for wind and solar. If this makes the prices for those power sources higher, that will incent additional generation form all sources - the way the market is supposed to work.
The subsidies should be phased out so we don't have this on-again, off-again system. In 2005, the Energy Policy Act was bipartisan, 2007, too. And in 2015 tax credits were extended by a Republican Congress with a Democratic President. If you really want the subsidies ended, it should be done in a bipartisan manner to make sure it doesn't harm consumers and the economy in the short term, and to ensure the policy is durable.
“On an unsubsidized $/MWh basis, renewable energy remains the most cost-competitive form of generation.” If true, it appears that the government's subsidies for the past twenty years or so have had their intended effect. The market has been transformed. Not sure I understand the need for continued subsidies.
Phil, like I said in the article, it's important to phase them out. One out of six Americans are in arrears... not just struggling but behind in paying energy bills. And we need low cost power to avoid a recession and be competitive globally. Spiking energy prices is not a good idea. Ramp them down, don't abruptly end them.
“On an unsubsidized $/MWh basis, renewable energy remains the most cost-competitive form of generation.” This is ONLY true if you ignore the cost of dispatchable electricity which must provide power when renewables cannot, and include the cost of transmission lines to take the renewable power from where it is most effective to where it is needed to the true cost of renewable power. And BESS raises costs because they must be overbuilt because of short battery life. If ERCOT is going to stick with a market only energy system, and not implement some form of capacity market, the subsidies must be removed.
The levelized cost of battery energy storage systems in 2023 was about $117 per megawatt hour. If you wonder why power costs in the ERCOT grid spike when the sun goes down in the evenings, that’s because those systems are coming online and raising costs.