12min chapter

Public Power Underground cover image

Resource Adequacy, Tail Risk, and Institutional Capability

Public Power Underground

CHAPTER

Challenges and Solutions in Resource Adequacy Planning

Exploration of the complexities in resource adequacy planning within the energy sector, assessing factors like reliability, consumer costs, and market efficiency. Discussions on the limitations of energy-only markets, capacity markets, and the potential of alternative solutions like high price caps and mandatory forward energy markets. The chapter also delves into the debate around market design, centralized planning versus market mechanisms, and the barriers to creating effective forward markets in the industry.

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