[Dylan16807]

> In most cases I've seen so far, contractual agreements with gas, coal or nuclear (who struggle to switch themselves off quickly without hurting themselves) have been the reasons for negative pricing and the grid wasn't actually at 100% renewable at the time of the curtailment. In other words, solar switches itself off, while other, dirtier plants get fined (negative price!) for demanding that they be allowed to still run.

No contracts or fines are necessary. The plant is making the power and dangerous or expensive things will happen if nobody takes it. So they pay for it to be disposed of.

[Reason077]

> "No contracts or fines are necessary. The plant is making the power ... So they pay for it to be disposed of."

They only pay if they are selling into the market at the market rate. Often, large operators will have some or all of their output contracted to buyers at a fixed contractual rate, so they are not affected by negative prices.

[7thaccount]

Also, they're hedged with the day ahead price.