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This looks like the classic tragedy of the commons. There is a common public good, the reliability of the power supply. The various producers are rewarded only for momentary conditions. The public service they provide or do not provide in case of intermittent sources is not rewarded or punished for.

As long as we have one grid, regulations must make sure that those who provide intermittent supply must subsidize backup capacity.

by oliver on Fri Aug 3rd, 2012 at 07:42:51 AM EST
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