Decrease Midday Electricity Prices to Integrate Solar, Says California Grid Operator

With California poised to enact legislation mandating half of its electricity come from renewable sources by the year 2030, the grid operator is already bracing for the impact that growing use of solar energy could have on the state’s grid. Supplying a significant amount of the state’s electricity from a technology like solar—that only produces energy during daylight hours—has the potential to throw off the usual dynamics of the state’s grid and electricity market. However, the grid operator has already devised strategies to make integrating solar energy easier, including a first of its kind proposal to decrease electricity rates during daytime hours—exactly when solar energy is most available.

Despite conventional notion, the California grid operator’s concerns about solar energy don’t stem from the fact that its output can change quickly and unexpectedly due to the presence of clouds or other forms of shading.

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