From NOT A LOT OF PEOPLE KNOW THAT
By Paul Homewood
Just a few simple numbers behind December’s CfD results:
- Generation: 2.6 TWh
- Subsidy/MWh : £86.68
- Market Price/MWh: £75.00
Market prices have ranged from £142/MWh at the start of the month when wind power was at a minimum, to £6/MWh during Storm Gerrit.
If this does not show the worthlessness of wind power, I don’t know what does! Its value is minimal when the wind blows; it only has any real value when the wind does not blow!
But because of subsidies, wind farms rake in the money whether the wind blows or not; their price is guaranteed. It is dispatchable generators, such as gas and nuclear, which have to pay for this market volatility.