It’s still not earning you money to spend electricity because you still have to pay the transfer fee which is around 6 cents / kWh but it’s pretty damn cheap nevertheless, mostly because of the excess in wind energy.
Last winter because of a mistake it dropped down to negative 50 cents / kWh for few hours, averaging negative 20 cents for the entire day. People were literally earning money by spending electricity. Some were running electric heaters outside in the middle of the winter.
I don’t know why you’re framing this as solely a demand problem, or why you think the elasticity of demand won’t extend to negative prices. Negative prices tend to show up only during periods of very high supply, due to a confluence of factors like weather, so supply is part of it (low or even negative prices can induce producers to curtail production). There’s nothing special about the number zero.
And negative prices therefore take the place of disposal: oversupply and the need to expand real resources taking that energy off of the grid in that particular moment. That’s demand, too: incentivizing people to do what needs to be done, and get rid of that excess energy by disposing it or whatever.
I don’t know why you’re framing this as solely a demand problem,
That is a very good question that has a very simple answer:
The supply shaping solutions to excess solar and wind power are to figure out how to store power, or to stop building renewables. Both of those approaches absolutely suck. We need more renewables, not less, and grid scale storage isn’t sufficiently scalable to meet our needs.
Demand Shaping offers a wide variety of potential solutions compatible with increased renewable adoption, and without massive infrastructure projects.
low or even negative prices can induce producers to curtail production
Until 100% of our demand is continuously met by renewable generation, curtailment is not a solution. Curtailment is what you do when you can’t find a solution.
And negative prices therefore take the place of disposal:
Disposal is not a solution. Disposal is what happens when you can’t find a solution.
Until 100% of our power needs are met by renewables, curtailment and disposal both suck.
Demand Shaping is a solution. Demand Shaping moves subtracts load from when it can only be met with non-renewables, and adds load when it can be met with renewables. Demand Shaping makes non-renewables less profitable and renewables more profitable.
Demand Shaping fixes the problem in such a way that encourages renewable growth. Curtailment and disposal makes renewable less profitable. Curtailment and disposal resolves the problem in such a way that discourages renewable growth.
