Hacker News new | ask | show | jobs
by mrks_hy 149 days ago
> due to the stupid Net Zero taxes.

No. Citation neede. The issue is the moronic way energy auctions are done, first by setting the price to the highest source that can satisfy (always gas) but ignoring (!) geography. Then, phase 2, dropping the impossible providers (i.e. Scottish hydro in the North for South England), and doing another (much more expensive pass). The Octopus CEO had a succinct explainer recently, can't find the video...

Found it: https://youtu.be/5WgS-Dsm31E?t=91 starts at 1:31

1 comments

this is not moronic. This is done everywhere in the world. In fact, merit order does justify more ren deployment even if economics aren't that great, because operators will be paid according to merit order, needing less cfd's. You can also check out how much of the gas electricity price is just carbon tax. And how transmission spending evolved. And how CFD's for different tech evolved in each AR round
It helps overly subsidize renewables and prevents price drops arriving directly at the consumer's bill.
if you dont want to oversubsidize ren, remove CO2 tax. The higher the tax, the more will ren receive in the merit order