Power markets

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...