13min chapter

Public Power Underground cover image

Resource Adequacy, Tail Risk, and Institutional Capability

Public Power Underground

CHAPTER

Understanding Reliability Externality in Energy Contracts

Exploration of challenges arising from reliability externality in supply chain reliability and energy contracts, impacting prices during scarcity. Discussion on the significance of price gaps in contracts, risk hedging for different customer types, interruptible rates, and complexities of retail market design in the electricity sector.

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