You are here: Home » Subject » Capacity Markets
Capacity Markets
More News and Commentary
Guest Commentary: Jyoti Gulia and Vibhuti Garg
What drove the aggressive winning bid of Rs2/kWh ($0.027/kWh) in a recent solar PV auction?
India set a new record low tariff of Rs2/kWh ($0.027/kWh) in the recent Solar Energy Corporation of India (SECI) auction on 23 November 2020. The tariff based bidding was conducted for selection of solar power developers to set up 1,070 megawatts (MW) of grid-connected solar PV projects on a “build-own-operate” (BOO) basis in Rajasthan (Tranche-III). […]
Kashish Shah
Despite the pandemic, investor interest in India’s renewables market remains robust
The International Energy Agency’s (IEA) World Energy Outlook 2020 forecasts India to lead the recovery of global energy demand out of the COVID-19 pandemic for the coming decade. However, the IEA has downgraded its projection for the global energy demand growth rate to 9% from its pre-COVID forecast of 12% for the period 2019 to […]
Press Release, Vibhuti Garg and Guest Commentary: Jyoti Gulia
Hybrid generation can produce consistent power at competitive tariffs
8 October 2020 (IEEFA) ‒ India’s total wind-solar hybrid capacity is expected to grow rapidly to reach nearly 11.7 gigawatts (GW) by 2023, according to a new report by IEEFA and JMK Research. “This is a new and fast-growing market in India,” say the report’s authors Vibhuti Garg, energy economist at the Institute for Energy […]
Press Release, Dennis Wamsted and Bryndis Woods
Eleven PJM projects under development may fail to prove financially viable
October 5, 2020 (IEEFA) — The landscape for developers of natural gas-fired power plants in the nation’s largest regional power system has shifted dramatically over the last decade, according to a joint study by the Applied Economics Clinic and the Institute for Energy Economics and Financial Analysis. The Pennsylvania-New Jersey-Maryland (PJM) system coordinates the flow […]
Press Release and Simon Nicholas
Wind and solar, the country’s cheapest source of new generation, also overlooked
3 September 2020 (IEEFA Pakistan): Pakistan risks locking itself into building more power capacity than it needs as a result of over-optimistic energy demand growth forecasts that do not take into account the impact of COVID-19, according to a new IEEFA report. Pakistan’s state-owned National Transmission and Despatch Company (NTDC) published its latest long-term power […]
Press Release and Simon Nicholas
Sindh province demonstrates Pakistan’s renewable energy potential
26 June 2020 (IEEFA Pakistan) ‒ With electricity demand growth slowing even before COVID-19, Pakistan is faced with the increasing financial burden of power capacity payments and overcapacity risk at a time when renewables are the cheapest source of energy available, finds a new IEEFA report. Two more Chinese-financed coal-fired plants have reached financial close […]
IEEFA
S&P Global Market Intelligence ($): The expected financial return on new renewable projects in ISO New England exceeds that of merchant natural gas projects, according to recent analysis from S&P Global Market Intelligence. New merchant natural gas projects in ISO-NE are affected by the ISO-NE Forward Capacity Auction. In February, the auction, known as FCA […]
Gerard Wynn
Progress this week on British energy policy
LONDON—The European Court of Justice’s decision yesterday to suspend Britain’s capacity market creates an opportunity to focus on more cost-effective and forward-looking solutions for safeguarding the country’s energy-supply security. We’ve argued previously that Britain’s capacity market. which has served as a model for a similar scheme in Poland, provides subsidies that may no longer be […]
Press Release, Tim Buckley and Simon Nicholas
Leaders and Laggards Emerge; US$185 Billion in Lost Shareholder Value Seen Among Utilities Failing to Keep Pace; Solar and Wind Generation ‘Can Now Consistently Outbid Fossil-Fuel-Based Generation’
Oct. 4, 2017 (IEEFA) — The Institute for Energy Economics and Financial Analysis (IEEFA) published a report today that describes how the rise of renewable energy is disrupting electricity markets worldwide. The report, “Global Electricity Utilities in Transition: Leaders and Laggards: 11 Case Studies,” documents a pace of change in Asia, Europe, the Americas and […]
Gerard Wynn
Spanish Environmental Groups Say Their Country is Violating European Commission Guidelines; Spain Should Retire Excess Capacity Before Paying Plants to Stay Online
A recent call by two environmental organizations for a formal state aid probe into Spain’s payments subsidizing gas- and coal-fired power plants appears to be well warranted, given multiple breaches of European state aid guidelines revealed by IEEFA in our December 2016 report, “Spain’s Capacity Market: Energy Security or Subsidy?” The Instituto Internacional de Derecho […]
IEEFA: India’s new record-low solar power tariff demonstrates investor confidence despite the pandemic
What drove the aggressive winning bid of Rs2/kWh ($0.027/kWh) in a recent solar PV auction?India set a new record low tariff of Rs2/kWh ($0.027/kWh) in the recent Solar Energy Corporation of India (SECI) auction on 23 November 2020. The tariff based bidding was conducted for selection of solar power developers to set up 1,070 megawatts (MW) of grid-connected solar PV projects on a “build-own-operate” (BOO) basis in Rajasthan (Tranche-III). […]