Electricity market reform

  • Commercial and market outlook

    Two thirds of energy industry professionals think the market needs to be drastically reformed

    A survey conducted of over one hundred leading energy market professionals from across the investment and advisory community, by Cornwall Insight, from the attendees of its Financing Net Zero forum, has shown nearly two thirds (63%) of people working in the energy industry1 believe the UK market needs to be...

  • Energy storage and flexibility

    Batteries, the Capacity Market and the challenge of Extended Performance – Part 2

    In a previous blog published on Monday 25 October, we discussed the issue of Extended Performance Tests within the GB Capacity Market (CM). In summary, due to degradation overtime it is currently not possible for batteries to be paid for their full capacity in the CM without risking significant fines....

  • Low carbon generation

    Black-out, what blackout? The curious case of unexciting imbalance prices on 9 August

    As a self-confessed imbalance pricing geek, one of my first questions as I stood stranded in St Pancras station on Friday evening 9 August, was: what was the imbalance price? And was it £6,000/MWh? Spoiler: it wasn’t, and it shouldn’t have been – but we might see imbalance prices of...

  • Commercial and market outlook

    Clarity on Capacity Market renewable ratings, but gap in government policy remains

    On 7 January, National Grid ESO published its consultation on the new de-rating factor methodology to be used for renewables participating in the Capacity Market (CM). The document forms a key part of the five-year review of the CM, for which a government call for evidence was published in August 2018.   In previous...

  • Commercial and market outlook

    This week’s Energy Spectrum overview | 29 May 2018

    Energy Perspective In this week’s Energy Perspective, we look ahead to this summer, a period that we believe could prove to be ground-breaking in terms of testing some long-held theories about flexible power systems. With the electricity market in rapid in transition we explore a range of emerging market phenomena...

  • Energy storage and flexibility

    What the T-1 auction does and doesn’t tell us about the upcoming T-4 auction

    The T-1 Capacity Market (CM) auction cleared on Thursday 1 February 2018 in round 14 at £6/kW. 5.78GW of capacity won an agreement for delivery year 2018-19 at an estimated cost for the consumer of £34mn. This is the second one-year ahead auction that has cleared lower than expectations; what does this...