– Germany has installed a large amount of solar power capacity in recent years, installing 14,280 megawatts of solar capacity last year which is almost double compared to the previous year.
– This high level of solar power generation has outpaced consumer electricity demand at times, pushing power prices down and even into negative territory, where consumers can get paid to use electricity.
– This price drop is bad for solar power producers’ profits and has slowed further expansion of solar in Germany.
– However, the excess solar power is not well matched with when consumers use most electricity, which is evenings. So a lot of power is being wasted currently.
– California has also experienced low or negative electricity prices at times due to high solar generation outpacing consumer demand.
– In the long run, energy storage solutions are needed to store excess solar power and provide electricity to consumers when the sun isn’t shining in the evenings.
– Until then, places with large solar capacity will see fluctuating and sometimes dropping electricity market prices as generation exceeds consumption at certain points in the day.
Source: futurism
