How are the economics of pumped storage determined?
Let's say it is midsummer and dead of night, with little demand and a gale blowing. The windmills are churning and the only demand for their power is the pumped storage operation.
But the storage blokes have to sell their power at wholesale price, so to make a profit they will only buy from the windmillers at a discount to wholesale, perhaps even at cost?
Perhaps pumped storage is a technical solution, but not necessarily a free market economic solution?
