That's genuinely exactly how it works. There are companies that provide that offloading-as-a-service who make good money on this concept and the grid isn't anywhere near falling over. Your 'grid melting' comment upthread is nonsense. Nothing is melting.

Melting would imply that currents exceed rated capacity of the lines that is entirely impossible due to how the grid is set up. What does happen is that loads that are otherwise not economical to run get turned on and that sources that are remote controllable (which is all wind installations > 2 MW and all solar farms > 10 KW except for residential) are switched off. This is a fascinating subject and worth some study, the thing you want to read up on is called grid balancing.

Typically the day-ahead and the 15 minute ahead markets take care of this with pricing alone and there have been no meaningful excursions due to overproduction of renewables, that's just FUD and it does not contribute to the discussion.

What you could argue if you had read up on this is that there are market operators that do both sides of the market, which sets you up for an Enron like situation because they can make money by front-running. After all, they have a little bit of time between the moment where they know what they're going to do and the moment when they actually do it. Market makers that are also traders is always a dangerous combination and this has already led to some trouble, especially early on in the energy balancing market process. Now it is much better.