Sweden’s Huge Onshore Wind Farm Teaches Investors Lesson on Energy Prices - Bloomberg https://archive.is/20250311050922/https://www.bloomberg.com/news/articles/2025-03-11/sweden-s-huge-onshore-wind-farm-teaches-investors-lesson-on-energy-prices
Tldr:
The problem with these arrangements was that, even when the wind didn’t blow, the parks were still contractually obliged to provide energy.
It’s a major difficulty with renewables that’s always swept under the rug.
Unpredictable power generation needs on-demand backup generation, typically natural gas based. That’s the perverse effect of renewables: as grid scale seasonal electricity storage is impossible, it increases dependence on gas.
Now you’re building and maintaining renewables and fossil infrastructure, both scaled to peak power usage.
End result: high annualized energy price.