Were they buying time-independent blocks of carbon-free power, or 24/7 carbon-free power? The latter is significantly more difficult.

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jltsiren 3 days ago | parent [-]

24/7. There was enough hydro and nuclear in the grid, and even more in the connected grids in Norway and Sweden. Most of the time, carbon-free power was no more expensive than generic power, which emphasized how meaningless the entire idea was.

It was a byproduct of the EU habit to create markets and competition where they don't naturally exist. You can buy electricity from any power company, and that company can then generate it itself or buy it from the market. Once you have a market like that, it's easy to add requirements such as carbon-free power. As long as the fraction of the market buying indulgences is lower than the share of the power generation meeting the requirements, fulfilling them is essentially free.

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p1mrx 3 days ago | parent [-]

> Most of the time, carbon-free power was no more expensive than generic power

Okay, let's ignore "most of the time" and focus on times when carbon-free power was more expensive. Were these companies actually footing the bill in that case? Because increasing the marginal funding toward clean sources when the grid is dirtiest is the whole point.

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jltsiren 3 days ago | parent [-]

You can pay the market price for power or agree on a fixed-term fixed-price contract. In the latter case, the power company carries the risks. The market is cheaper on the average, especially if you can adjust your demand down when the prices are high. Back then, the prices were relatively stable, but today they fluctuate wildly due to the prevalence of wind power.

In any case, carbon-free power from the grid is mostly a legal/financial construct with limited real-world impact. When the grid is dirtiest, market prices are set by fossil fuels with high marginal costs, and clean sources get the same price without any tricks.

	▲	p1mrx 3 days ago \| parent [-]
		Perhaps one company buying 24/7 CFE won't make much of a difference in Europe, but it would make a difference in places like Singapore, where the existing grid is incapable of providing 24/7 CFE to anyone.