A weekly update on the latest “no-fluff” insight and analysis of the energy industry.
The real-time market exists to handle immediate, unexpected changes in electricity supply or demand, ensuring the grid stays balanced by trading power in short intervals (like every 5-15 minutes) to prevent outages.
Unlike the day-ahead market, which plans electricity delivery a day in advance, the real-time market handles last-minute adjustments for sudden demand spikes, generator outages or renewable energy fluctuations.
The real-time market is typically managed by independent system operators (ISOs) or regional transmission organizations (RTOs), like PJM or ERCOT, which coordinate electricity flow and pricing to keep the grid reliable.
Prices in the real-time market can spike when demand suddenly increases, a power plant goes offline or transmission constraints limit supply. These urgent situations require quick, costly fixes to balance the grid.
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All the tools to put together an investment thesis in the fast-paced energy transition. Understand where your power and renewables asset sits within the context of the energy transition. Ensure and demonstrate that your asset is investment-grade now and for years to come.
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