By special request from regular commenter James Wimberley, some thoughts on the failure of the Texas electricity market to deal with unexpected cold weather.
Texas Interconnection kept separate from the rest of the US grid to ensure that ERCOT remains under Texas not Federal control. Hence can’t draw on interstate supplies.
Electricity only market seen as not providing adequate incentives for reliability. But ultra-high peak prices are supposed to provide those incentives. Max of $9000/MWh too low, not too high.
Switch from vertical integration to pool market good for renewables. An inherent result of markets, or just that disruption of any system favors shift to more efficient technologies?
(I’m going to edit this bit by bit, without noting updates)