And that means that even if wind operators give the power away or offer the system money to take it, they still receive a tax credit equal to $23 per megawatt-hour. Those tax credits have a monetary value — either to the wind-farm owner or to a third party that might want to buy them.
As a result, in periods of slack overall demand and high wind production, it makes all the economic sense in the world for wind-farm owners to offer to sell lots of power into the system at negative prices.
We use to pay people not to grow wheat. Now we pay people to produce unneeded electricity at a loss. Sheesh.
Why can’t they sell excess or unwanted electricity to other states? On the East Coast, several major power companies have agreements to do that and everyone has electricity at pretty good rates.
Did former Gov. Perry know about this while he was governor? If so, maybe that is why nobody wants his a presidential candidate.
Someone from Texas please explain what is going on down there.