Commodity Market Report
Will renewables lose momentum without carbon policy?—The ERCOT 'No Federal Carbon' Case
Report summary
Despite dim prospects for any federal carbon regulation under the current administration, broad-based sustainability efforts are likely to create a push towards a carbon framework in the US. Yet, this is still fraught with uncertainty. In Wood Mackenzie's 'No Federal Carbon case', we remove the impact of a carbon tax beginning in 2028 and adjust our long-term capacity mix accordingly as decarbonization efforts are slowed. This has significant impact to power pricing/generator dispatch and new build economics.
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