Impact of Price Cap Policy on Concentrating Solar Power Plant Revenue in Electricity Markets

Global economy, price caps policies, and renewable energy integration to the grid have resulted in fluctuations in electricity prices on an annual, monthly and hourly basis. This paper evaluates the impact of a price cap policy on the revenue of a 110 MWe solar power tower plant (SPTP) with a 10-hour thermal storage system in Seville, Spain. The plant optimises its operations through different modes: Current, Continuous, and Maximum, leveraging its thermal energy storage as needed to meet modes conditions. Simulations of these modes alongside historical data and hypothetical price scenarios reveal that the plant's revenue would have increased in 30 million euros (49.6 %) without the price cap policy. The Continuous mode consistently demonstrates the best performance across all simulations, reaching an average revenue increase of 11% compared to current operation. This study highlights the importance of effective energy management strategies for SPTP to enhance financial incomes in competitive energy markets.