What is a spark spread? The number that decides whether a gas plant wants to run
A gas-fired power plant can be technically available, connected to the grid, fully fueled—and still have no economic reason to generate electricity. The spark spread explains why. It compares the value of the electricity a gas plant can sell with the cost of the gas it must burn to produce it. Add carbon costs and you get the clean spark spread: one deceptively simple number connecting electricity, gas, plant efficiency, carbon markets, dispatch, and power prices.