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Overcoming renewable energy climatological risks: the hydroeolic pool

This paper analyzes the system's and market's risks associated to renewables climatological uncertainty. It will be shown that complementary eolic/hydrological dynamics allow the design of a customized regulatory framework based on a pool scheme. Each participant will “cede” resources surplus and receive “coverage” during severe shortages. The result is a strong risk mitigation, stabilizing investor's results and consumer's supply. The potentiality of the proposed approach is discussed through a case study with the Brazilian system and market.