Our examination of ERCOT's history and operation brings a conclusion that the costs of instituting capacity markets in its territory will almost surely exceed any benefits they might bring.
Texas Electric Grid Reliability
The Issue Texas has the most competitive electricity market in the country, and our market has become a model for deregulating electricity generation and retail distribution. However, a dramatic expansion of wind energy generation, spurred by a flood of federal subsidies and state subsidies, including the massive socialized cost of renewable-driven transmission lines, has upended...