The electricity market is a system that allows purchases through bids to buy; offers to sell; and short-term trades, often in the form of financial or obligation swaps. Offers and bids use the principle of supply and demand to set the pricing. Long-term trades are typically private bi-lateral transactions and are contracts similar to those of power purchase agreements. Trading in the electricity market differs from trading in traditional financial markets because electricity is generally produced and consumed instantly. Because it cannot be easily stored at the wholesale level, supply and demand have to be balanced in real time. To read the full article, visit https://nikolasperrault.net/what-is-spot-electrici