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WASHINGTON, DC -- The Distributed Energy Financial Group (DEFG) and the Center for the Advancement of Energy Markets (CAEM), a non-profit energy policy think tank, released a 80-page study in January entitled "Resource Adequacy and the Cost of Reliability: The Impact of Alternative Policy Approaches on Customers and Electric Market Participants"
The study recommends that market-based approaches to improving reliability, including market-based demand response initiatives, distributed energy, and an energy only market (with limited or no extra capacity costs fixed for reliability), be adopted or phased in to more closely link consumer preferences and consumption levels with costs.
Many regions of the United States have enacted or are considering the imposition of "generating reserve" or "resource adequacy" ...