Energy Market Analysis for Optimal Grid Placement of Solar Projects

Today’s transmission grid is experiencing congestion, particularly in areas where the renewable generation resources are abundant.  Utilities are looking for high Nodal prices (Locational Marginal Prices – LMP) and minimal congestion at the location of the generators with which Purchase Power Agreements may be considered.  Solar generation has the particular advantage of peaking during the on-peak hours of the load.  This presentation discusses optimal placement of solar projects in load pockets for the successful development of winning projects. A Market Energy Pricing analysis is presented and the direct impact of load pockets on Locational Marginal Prices are shown and emphasized with examples. .  In this presentation, maps of LMP are also shown in different parts of the country and case studies and market prices of optimally located projects  are shown.  The presentation provides an in depth overview of the energy market in terms of Nodal pricing (LMP) and how the energy market operates, providing key elements that investors are looking for in successful solar generation projects.