a financial market that lets market participants commit to purchasing or selling wholesale electricity one day before the operating day, to help avoid price volatility.
Pros
Provides a great alignment of the technical and financial operations related to delivering electricity; allows for better resource planning and reduces market volatility.
Cons
Can be limiting to smaller resources and hard to understand or access.
Real Talk
Having a reliable forecast of load and generation potential reduces pricing volatility. It’s good for the market.