Grid Glossary

TRENDING TERM

Critical Issue Fast Path (CIFP)

An accelerated stakeholder process used in PJM Interconnection to resolve urgent, contentious, and time-sensitive issues that cannot be resolved through the normal stakeholder process. The process involves several stages of discussion and proposal development, culminating in a submission to the Federal Energy Regulatory Commission (FERC) for approval. The CIFP process has been used in recent years to discuss large load additions (2025) and resource adequacy (2023).

TRENDING TERM

Effective Load Carrying Capability (ELCC)

Measurement used to calculate how much an energy resource–such as a wind farm or solar array–contributes to the overall reliability of the grid. It assesses the resource’s ability to meet electricity demand, particularly during peak usage periods, and is especially useful for variable renewable energy sources whose output depends on factors like weather conditions. 

TRENDING TERM

Disturbance

Refers to any unwanted or unplanned electrical event that interferes with the normal operation of the electrical grid. These can manifest in power outages, surges, and other events, and can originate from various sources within the electrical grid, such as loss of a large generating unit or another grid asset, such as a transmission line or transformer.

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202(c) Order

An emergency order issued by the United States Department of Energy (DOE) under Section 202(c) of the Federal Power Act. It allows the Secretary of Energy to temporarily order connections of facilities and the generation, delivery, or transmission of electricity to best meet an emergency caused by war, a sudden increase in demand, or a shortage of energy or facilities. These temporary orders can also exempt power plants from federal, state, or local environmental rules and have historically been used to prevent outages during severe weather events or supply shortfalls.

Large load

Historically refers to industrial facilities with high electrical demand. They had long interconnection timelines that allowed for more study time under traditional planning processes. Currently, emerging large loads include cryptocurrency mining, data centers (conventional and artificial intelligence), oil field loads, and hydrogen production facilities. Many have a shorter timeline to interconnect (months vs. years) to the grid. In addition to these rapid timelines, some emerging large loads introduce new challenges to grid operators like rapid demand fluctuations and increased voltage sensitivity.

Load

The amount of power or electricity consumed by a device or system at a given time. It’s the demand placed on an energy source, like a power grid or a battery, by the connected electrical equipment.

Load growth

The increase in the demand for electricity over time. It signifies the rising need for power from various sectors, including residential, commercial, and industrial, and can be driven by factors like population increases, economic development, and the adoption of new technologies like electric vehicles and data centers.

Load shed

A controlled process where a utility company reduces or shuts off power supply to certain areas or customers to balance demand with available supply, preventing a complete system failure. It’s a last-resort measure to maintain grid stability when demand exceeds supply or when there are issues with power generation or transmission.

Locational Marginal Price (LMP)

A way for wholesale electric energy prices to reflect the value of electric energy at different locations, accounting for the patterns of load, generation, and the physical limits of the transmission system.

Loss of Load Expectation (LOLE)

Analysis is typically performed on a system to determine the amount of capacity that needs to be installed to meet the desired reliability target, commonly expressed as an expected value, or LOLE of 0.1 days/year.

Reactive power

Power that does not perform useful work but is used to establish and maintain electromagnetic fields that are needed to generate, transmit, and convert electric power in the alternating current network. A shortage of reactive power can cause voltage to decline. (See also: voltage support)

Reliability

A characteristic of the whole electricity system to describe its ability to consistently deliver electricity to consumers without interruption, even through grid disturbances. Reliability comes down to having sufficient generating resources to meet demand and a functional operational grid system.

Reliability must-run (RMR) contract

An agreement initiated by an RTO or ISO with a power plant, keeping it in operation temporarily for reliability purposes.

Resilience

The ability of the grid to ride through extreme events, recover quickly, and support other critical systems (e.g., transportation, health care, public safety etc.).

Resource adequacy

An assessment of whether the current or projected resource mix is sufficient to meet capacity and energy needs for a particular grid. The resource mix includes all resources able to provide capacity and energy to the system. Adequacy assessments are used to identify potential shortfalls in the availability of resources across different time frames; from long-term planning (5 to 20+ years) to seasonal and day-ahead assessments.

RTO

 (see also: ISO) – A non-profit organization that manages the electricity transmission system in a specific region, ensuring reliable and efficient electricity delivery. RTOs operate the high-voltage electricity grid, facilitating the movement of power from generating plants to substations and ultimately to consumers. They also oversee competitive wholesale electricity markets.

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