A Regional Energy Market to Achieve California’s Renewable Energy Goals

Abstract

The intermittency of renewable energy poses challenges for California’s energy stability and reliability as the state pushes towards its goal of reaching 100% renewable electricity by 2045. Electricity generation from solar and wind power is increasing rapidly, but energy storage technology has not yet reached the levels of capacity to enable California to maintain energy stability on its own. California should merge into a regional energy market because this would solve the issues posed by renewable energy’s intermittency, and it would simultaneously enable renewable energy to stimulate the market for the entire region. A regional energy market could accelerate transitions to renewable energy beyond California’s borders and further California’s ultimate goal of mitigating climate change. The western region is already trending towards integration as more states join California’s Energy Imbalance Market every year, and the new federal administration could usher in a new era of climate action. California should capitalize on the current regional and political momentum to pass a bill in the state legislature to merge into a regional energy market.