A recent study by Wolf-Peter Schill from the German Institute for Economic Research (DIW) analyses the connection between more flexible electricity generation and surpluses on the electricity market. Surpluses can lead to negative prices on the electricity market as long as the electricity cannot be stored. The study looks into how a more flexible fleet of conventional plants could substantially reduce surpluses on the market. Additionally, the study calls for research and developments into storage facilities to absorb overproduction and to cover peak load periods. Continue reading ‘DIW Study: Higher Energy Production Flexibility Reduces Surpluses’