since renewable generation disposes of the lowest marginal costs and generation follows demand it replaces other baseload generation at times of high output consequently the average load factor of baseload plants will decrease which decreases income if they cannot compensate for this tendency with higher prices at times of low output if income decreases investments in new generation facilities will be postponed or cancelled therefore the average load factor of baseload plants electricity generationmaximum possible generation may be an important indicator for future investments thirdly procedures time and cost to obtain construction permits inspections and network connections give an impression of the ability to realise new investments up to now in network planning reserves are usually determined on the basis of deterministic n and n requirements which require network operators to transport the power along a different route in case a contingency occurs even when certain network components are not available due to planned outages ie n