How Renewables Have Influenced The Wholesale Energy Market

Renewable energy sources have surged throughout the midwestern United States in the last few years, especially in Texas. In fact, 15% of Texas’ power was generated by wind energy alone back in 2017. It’s no wonder that 24.9 GW of wind capacity was installed throughout Texas within the last quarter of 2018. And solar power is hot on wind energy’s heels

Solar as a form of renewable energy has experienced a boom in the last few decades, but lower prices and residential applications have truly taken off in the last couple of years.

But why has residential and commercial solar taken off? And how has it affected the wholesale energy market? Here are some of the primary ways solar has become an accessible form of renewable energy in the wholesale market.

Why is solar picking up speed?

Solar is one of the leading forms of renewable energy thanks to innovation in this sector. This has been streamlined thanks to increasingly favorable pricing for solar panel manufacturing and installation. According to NRG, solar panel installation costs have dropped by more than 70% since 2010.

This had led to an increased interest in solar panels throughout residential and corporate markets, especially among consumers who want to take their home’s energy management into their own hands. As such, the idea of retail choice has disrupted capitalist market competition in favor of consumer wants and needs. But solar panels have also become popular among environmentalists and eco-friendly homes that hope to lower their carbon footprint.

What influence has it had on the renewable wholesale market?

This change has led to a number of new consumers looking to become energy independent, whether they’re looking for commercial solar or residential solar panel options. According to NRG, renewable energy sources have helped prevent wholesale prices from growing when times get tough. However, many industry changes have had to take place in the wake of a new type of renewable energy. After all, most of the infrastructure throughout the United States has relied on coal generation, oil refining, and other nonrenewable energy sources.

Regardless, lower renewable prices for solar energy solutions has enabled even small businesses to take advantage of this renewable energy. Despite commercial solar’s downfalls pertaining to intermittency, it’s the combination of renewable energy sources that can truly make a difference.

Did you know that more than 120,000 terawatts of energy flow from the sun to the earth every day? When you want to become energy independent, rely on the commercial solar energy professionals you can trust: Energy Professionals.