Renewable electricity is cheap and clean, but also less predictable than a gas turbine. It turns out that this is both a problem and a chance.
In most solutions for the problem of intermittent, solar collectors and wind turbines are coupled with batteries that store the use of use when the sun goes down or the wind dies. The batteries act as a kind of protection against these natural disorders.
But expensive physical assets are not the only way to secure the risk. The markets are different. A startup, Electronxis in the process of building an exchange on which buyers and sellers can exchange electricity. According to the company, the goal is to help both sides to manage risks and security volatility, which means that part of the financial uncertainty is excluded renewable energy.
In order to achieve this goal, Electronx collected $ 10 million in a follow-up round listed by Systemiq Capital with the participation of Equinor Ventures, Shell Ventures and Innovation efforts, the company told Techcrunch. The new investment follows a seed of 15 million US dollars that the startup raised in June 2024.
For the most part, the electricity market in the USA is heavily regulated and is based on assumptions that have been formed when the current has been largely generated by coal -fired power plants. They ran day after day and formed a stable base on which more expensive power plants reacted to demand fluctuations.
But when solar and wind entered the market, they made some of these assumptions on their heads. In contrast to large power plants for fossil fuels, renewable electricity can be quickly switched on and off. Batteries contribute to the costs, but offer even more speed and flexibility when reaction to shifts in demand.
These qualities have opened the door to new trading points, argues Electronx.
The proposed exchange of the company would enable electricity suppliers and consumers to buy and sell capacities in 1 megawatt blocks on an hourly or hourly basis for the current day and the following day. Electronx is still waiting for the approval of the Commodity Futures Trading Commission, but should happen that the company’s more detailed blocks could reduce the “implicit multi -million dollars -trading requirements” available on today’s electricity markets, the company said.
The goal is to allow smaller company Playing a larger role in the electricity markets, similar to how retail dealers can take part in the stock markets. “By using more precise financial products, renewable assets should determine better return areas and faster amortization periods,” said the company in a statement.
