Thanks for exploring this aspect Julien. I would imagine that it is one of many tools which we would utilise in a renewable and electric future. Something which I find is still a little overlooked by the wider public which graves for that one solve-it-all tool. But there is one thing which I am wondering how it would be resolved if demand becomes more elastic, the price signals. If the Day-ahead price indicates that it is best to charge the batteries midday and then everybody shifts their demand in this time window it should change the hourly Day-ahead price. Maybe this would be resolved by giving the intraday market a greater weight? Also, of course the solar supply is rather inelastic which I guess means that there is less price elasticity even if demand is elastic.
Thanks for exploring this aspect Julien. I would imagine that it is one of many tools which we would utilise in a renewable and electric future. Something which I find is still a little overlooked by the wider public which graves for that one solve-it-all tool. But there is one thing which I am wondering how it would be resolved if demand becomes more elastic, the price signals. If the Day-ahead price indicates that it is best to charge the batteries midday and then everybody shifts their demand in this time window it should change the hourly Day-ahead price. Maybe this would be resolved by giving the intraday market a greater weight? Also, of course the solar supply is rather inelastic which I guess means that there is less price elasticity even if demand is elastic.