“… the economist is looking for the why-behind-the-why. And that is where negative pricing for wind and low margins in general from the regulatory setup ruined the economics of the [natural gas] industry, resulting in premature retirements, a lack of new capacity, and cost avoidance. Are you saying that there was a ‘market failure’ with natural gas in [the Texas blackout of February 2021]?” (Bradley to Kiesling, below)
She engages and then disappears. She is the “classical liberal” who refuses to question the climate alarm and favors the government-forced energy transformation to wind, solar, and batteries–and demand control from the political center. And she is all-in with the centrally planned wholesale power markets, better known as Independent System Operators and Regional Transmission Organizations (ISOs and RTOs).
She trumpeted the Texas ISO as the national model until it imploded in February 2021–and now blames natural gas, not wind and solar or central government planning.…
“The supply-side reliability fix offered by the Texas Senate is a direct response to the February 2021 carnage created by, yes, wind and solar taking over a once reliable grid. It is a hard-wired governmental solution to a soft-wired governmental problem. But there is an alternative. Free markets, anyone?”
The big guns of climate alarmism and forced energy transformation are out to prevent Texas from shoring up its grid from the cancer of wind and solar. Out of the blue, the Texas Energy and Power Newsletter (Substack) appears, with the message that renewables are not the problem but the solution, complemented by, in Doug Lewin’s words, “Fast-acting reciprocating engines, batteries, geothermal power, and demand response [to] help with both resource adequacy and operational flexibility.”
In denial about the wounded supply side–where the obvious solution is to demote (government-enabled) intermittent resources–the answer is “smart meters” in the home so Big Brother can oversee demand.…
Ed. Note: The current government-led drive for battery electric vehicles (EVs) can be informed by history. In the 1890s through about 1920, electric vehicles went from market dominance to market rejection, outcompeted by the gasoline-powered internal combustion engine. This post, and others at MasterResource (here and here), revisit the early history of the electric vehicle.
Electricity was the early front runner for horseless carriages, and the great man of electric utilities, Samuel Insull, got out in front. In 1898, Chicago Edison opened battery-charging stations and offered promotional rates to jumpstart this market. “Load-leveling” rates meant cheap off-peak charging at wholesale to serve this embryonic market.
In 1899, Insull became president of the $25 million Illinois Electrical Vehicle Transportation Company, the western branch of the Columbia Automobile Company of New York, to market electric cabs and carriages in Chicago.…