Wind solar and energy storage business customer segmentation

Does market segmentation affect local wind power development?

The partial effect of market segmentation on wind curtailment rate can be derived as d ( C )/ d ( Segm ) = γ1 + γ2·Z. This shows that the interprovincial barriers' impact on local wind power development will be partially determined by the hypothesized Z variables.

Does interprovincial market segmentation contribute to China's high wind curtailment rate?

We present a empirical analysis for China's high wind curtailment rate. We quantify interprovincial electricity market barrier using segmentation index. The interprovincial market segmentation contribute to wind curtailment rate. China's wind power has experienced explosive growth and reshaped the overall energy mix since 2009.

Does market segmentation affect wind curtailment?

If the positive effect of market segmentation on wind curtailment is confirmed ( γ1 > 0) and the interaction term ( γ2) is positive and statistically significant, this will indicate that the change of variable Z will exacerbate the impact of market segmentation on the wind curtailment rate.

What is the paradox in China's Wind power sector?

The paradox in China's wind power sector is that the country seems eager to make an energy transition in order to reduce dependence on coal and mitigate the associated side effects such as carbon emission and air pollution. Meanwhile, millions of installed wind turbines sit idle and clean energy is curtailed.

What if the market segmentation index of Gansu decreases?

To put this in context, if the market segmentation index of Gansu, which has the highest wind curtailment rates (an average of 22.8% during our sample period), decreases to the mean level of all provinces, its wind curtailment would drop by 6.6–7.5%.

Is the market segmentation index robust?

The market segmentation index ( segm) in the lagged model is consistent with the base model results in terms of coefficient magnitude and significance level, indicating our estimation results are robust. Table 3. Robustness check models: introducing a one-year lag term of the wind curtailment rate.