Demand response

After nearly two decades of stagnation, U.S. electricity demand is surging, driven by growing numbers of electric cars, data centers and air conditioners in a warming climate. But traditional power plants that generate electricity from coal, natural gas or nuclear energy are retiring faster than new ones are being built in this country. Most new supply is coming from wind and solar farms, whose output varies with the weather. That’s left power companies seeking new ways to balance supply and demand. One option they’re turning to is virtual power plants. These aren’t massive facilities generating electricity at a single site. Rather, they are aggregations of electricity producers, consumers and storers – collectively known as distributed energy resources – that grid managers can call on as needed. Some of these sources, such as batteries, may deliver stored electric power. Others may be big electricity consumers, such as factories, whose owners ha...

The U.S. is nearing the end of one of its hottest summers on record. Across the nation, heat waves have driven peak electricity demand on some days to levels far exceeding seasonal averages. Grid operators rely on so-called “peaker” plants to ensure they will have enough supply to meet these demand surges. Peaker units can start up quickly and at relatively low cost, but they typically burn more fuel per unit of electricity produced than other types of fossil fuel units. Because they are less efficient than other plants, peakers typically run only during high-demand periods. Historically, peakers have run for less than 10% of the year, often for just a few hours at a stretch. Nonetheless, their higher emissions per unit of electricity produced raise environmental and health concerns. As of 2021, there were 999 peaker plants across the U.S., in all 50 states. About 70% of these plants burned natural gas, and the rest were powered by oil and coal. To reduce air p...

Texans like to think of their state as the energy capital of the world. But in mid-February 2021, the energy state ran short of energy. An intense winter weather outbreak, informally dubbed Winter Storm Uri by the Weather Channel, swept across the U.S., bringing snow, sleet, freezing rain and frigid temperatures. Texas was hit especially hard, with all 254 counties under a winter storm warning at the same time. Across the state, sustained arctic temperatures froze power plants and fuel supplies, while energy demand for home heating climbed to all-time highs. Cascading failures in the electric power and natural gas sectors left millions of people in the dark for days. At least 246 people died, possibly many more, and economic damage estimates damages reached US$130 billion. Water systems, which require energy for pumping and treatment, also were severely damaged. At least 10 million people were under boil-water notices during and after the storm, sometimes for weeks. Low-incom...