zlacker

To be fair if consumers where to en masse react to spot prices then the grid would open itself to gamestop-style failures.

The mistake the big investors made with GameStop was assuming that retail investors would not coordinate, so when meme stocks started the big investors found themselves in unexpected waters.

If a sizable chunk of heat pump where to use the same algorithm to react to spot prices then the grid would have to adjust how spot prices are calculated.

It can be done, but I suspect the grid will want to retain some level of control (eg by providing you with the algorithm)

>>afiori+(OP)
I am not going to allow the grid to control by heating and warm water.

>>holri+5u
When everybody cranks up their usage when prices fall and stop when prices rise then the whole system might be unstable wildly swinging between low and high usage. Added with natural changes from solar and wind it's a tough nut to crack.

>>_nalpl+DS1
In particular I suspect that even the most reactive energy sources (which I suspect are fossil fuels) takes minutes to scale up or down to follow demand.

>>afiori+kV4
This is not a problem, because in my market each day at 17:00 the fixed hourly prices for the next 00:00-24:00 period are published. Weather and therefore renewable energy yield is good predictable for 24 hours.