Carbon Price Example

Energy-Redefined has developed a carbon pricing model of the US, that allows users to easily change and look at the inter temporal dynamics of carbon prices. Current models take an annual view and are based on static or non dynamic processes. This is important as the volatilty in the short term affects both short switching and long term investment behavior. We have built a number of interacting components that when integrated will allow us under different assumptions to simulate these price dynamics in the short and long term. Try one of the components below.

Left click on your mouse and move the two dials to change coal prices and natural gas prices. Notice how the carbon prices changes. Note this is based on one set of assumptions for a specific gas vs coal switched plant.