Abstract
As solar electricity generation increases, the daytime net load (total
load less solar generation) decreases, reducing prices in the middle of
the day. These low prices reduce motivation to invest in more solar
electricity. In this study, the correlation between net load and price
is quantified on a seasonal average basis, and used to predict resulting
hourly price changes if demand can be shifted from evening peak hours to
mid-day when solar generation is greatest. The results suggest such a
strategy will be of economic benefit to solar generators by increasing
the price at mid-day for all electricity delivered, while reducing the
price and thus total expenditures for energy during evening peak hours,
with a net overall savings for energy consumers. These financial
benefits motivate solar plant owners and developers to promote
load-shifting, both to increase the revenue from current solar plants
and to create demand for more solar plants.