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by nonrandomstring 478 days ago
I agree with the incentives for zonal pricing to encourage clean local production. The downside however is that the grid becomes defunded and a tragedy of commons ensues. We invest in common infrastructure precisely because of variance, which in the long run we hope to ameliorate.
1 comments

Zonal pricing (UK) does not conflict with grid funding, it is the grid funding. It also exposes the economic incentives for allowing new grid infrastructure to be built.
I hope you're right. Incentives both ways and support for national infra is ideal. Lithuania, Latvia and Estonia just showed [0] how flexible grids can be at the international level. However I think at the national level some countries aren't that happy to support national grids.

[0] https://www.dw.com/en/brell-lithuania-latvia-and-estonia-tur...