Grid Glossary

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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).

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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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Baseload

The minimum amount of electricity that a utility must provide to meet the consistent, ongoing needs of its customers. Historically, this steady demand was met by large power plants (like coal or nuclear) that ran continuously. Today, with more renewable energy, this minimum demand can be met by a flexible mix of various power sources, rather than relying solely on specific “baseload plants”.

  • Baseload capacity:  The generating equipment normally operated to serve loads on an around-the-clock basis.
  • Baseload plant:  A plant, usually housing high-efficiency steam-electric units, which produces electricity at an essentially constant rate and runs continuously. 
Battery Energy Storage System (BESS)

A technology that stores electrical energy in rechargeable batteries for later use. Batteries help stabilize the grid, manage energy demand, and increase the use of renewable energy.

Behind-the-meter

Any energy resource that provides energy directly to a home or business without passing through a utility company’s meter. Examples include rooftop solar and microgrids.

CAISO

California ISO

Capacity

The maximum amount of power an energy source can physically produce (measured in megawatts/MW), or when referring to an electrical grid, the total amount of electricity that power plants connected to the grid are capable of producing. It’s essentially the total potential output of all the electricity sources, like coal, nuclear, hydro, wind, and solar plants. Meanwhile, energy is the actual output of a source over a particular time period. 

  • Capacity accreditation – The process by which grid operators determine the reliability contribution of individual power resources (such as power plants or energy storage systems) to the overall electricity grid. It quantifies how much a resource can reliably contribute to meeting demand, especially during peak times or periods of tight supply, guiding investment decisions for grid stability.
  • Capacity auction – A competitive market mechanism where grid operators or utilities purchase energy in the market from electricity generators (such as coal plants, wind, and solar farms) or demand-response participants for future energy needs. Essentially, the generators or demand-response entities provide their energy or technology for future periods of high demand. Capacity market auctions ensure enough electricity is available for future demand at the lowest achievable price for consumers. The goal is to balance reliability with cost by having market participants compete. There are two main types of auctions:
    • Forward capacity auctions: held years before the capacity is needed, giving operators time to upgrade or build facilities. 
    • Incremental auctions: take place closer to the delivery time, adjusting for changes in demand or unexpected generator issues.  

Generally, participants submit sealed bids to offer capacity at specific prices. The auction ends when the total capacity offered matches the region’s needs, and a single clearing price is set for all commitments.  

  • Capacity costs – The charges associated with ensuring a sufficient supply of power to meet peak demand. These charges cover the cost of maintaining and operating power plants, transmission infrastructure, and other components needed to meet the highest levels of electricity usage, essentially guaranteeing power is available when it’s most needed.
  • Capacity market – A type of wholesale market designed to ensure there will be enough power generation available in the future to meet peak demand and maintain grid reliability. Generators receive payments for promising to be available to produce electricity when needed, even if they aren’t running all the time. Functions sort of like an insurance policy, in that generators are paid for the promise to show up with power during times of high demand. This type of market is a method to maintain resource adequacy. Not all markets use this method (example: Electric Reliability Council of Texas (ERCOT).
Clean firm energy

An energy source that generates electricity with zero- or extremely low-carbon emissions, and can do so when needed, regardless of weather conditions. They include enhanced geothermal energy and advanced nuclear technologies. They also can include solar or wind paired with battery storage to provide on-demand power supply regardless of weather conditions or time of day. 

Connect and manage

Refers to a regulatory approach for connecting new power generators to the electrical grid, notably used in Texas (ERCOT). This approach allows new generators to connect expeditiously with minimal upfront transmission upgrades. However, the grid operator retains the right to curtail their output if transmission constraints arise. This contrasts with approaches where developers pay for upgrades prior to connection. (see Energy-only interconnection approaches)

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).

Generation

The process of creating electricity. 

Geothermal energy

Heat derived from the Earth’s interior, which can be harnessed for electricity generation. It’s a renewable resource, as the Earth’s internal heat is continuously replenished.

Grid

The electrical grid is a vast, interconnected network comprising power plants, transmission lines, substations, and distribution lines. Its purpose is to generate, transmit, and deliver electricity from producers to consumers across a wide geographic area. 

Grid enhancing technologies (GETs)

A variety of technologies that improve the capacity, efficiency, and reliability of existing power grids. They are often lower cost and faster to deploy than major grid infrastructure upgrades like building new transmission lines. These technologies optimize the flow of electricity across existing infrastructure.

Grid following inverter

Refers to the ability of an inverter to synchronize with frequency and voltage on the grid. These are more common than grid forming and refer to how this technology takes its cues from the grid, not the other way around.

Grid forming inverter

Refers to the ability of an inverter to actively control frequency and voltage on the grid, helping to ensure grid stability. They can provide ancillary services, such as inertia, voltage regulation, and frequency response, essential for maintaining grid stability.

Grid hardening

Refers to the many solutions that help the grid withstand major events, such as extreme weather, natural disasters, or cyber attacks, without disruption.

Hydrogen

Fuel cell that carries energy generated from another source. It can be used in fuel cells to generate electricity with water as the only byproduct, or it can be burned for heat. Hydrogen can be produced from a variety of sources–renewable energy such as solar or wind, or gas plants, nuclear, and other energy sources–which dictate whether it can be considered “clean” or not.

Independent Market Monitor (IMM)

An entity that is hired by an Independent System Operator (ISO) or Regional Transmission Organization (RTO) to oversee and assess the operations of the wholesale electricity market. Its primary role is to ensure fair and competitive market practices by monitoring market participant behavior and identifying potential market manipulation or design flaws.

Independent System Operator (ISO)

A non-profit organization that manages the electricity grid and wholesale electricity markets within a specific geographic region. Its primary role is to ensure the reliable and efficient delivery of electricity, balancing supply and demand in real-time and overseeing fair competition among market participants. 

  • List of ISOs and RTOs:
    • CAISO – California ISO
    • NYISO – New York ISO
    • Electric Reliability Council of Texas (ERCOT); also a Regional Reliability Council
    • MISO – Midcontinent Independent System Operator, serves northern Midwest, southeast, and parts of Canada
    • ISO-NE – ISO New England
    • SPP – Southwest Power Pool
    • PJM – Pennsylvania-New Jersey-Maryland Interconnection- services 13 states in Midatlantic and Midwest region
Inertia

In the context of the grid, it refers to the energy stored in the rotating machinery of generators, such as the turbines of a gas plant or hydropower station. 

The turbines rotate at the same rate as the grid–60 cycles per second (hertz) in the United States–and help provide stability for the grid, particularly during spikes in power demand or other disturbances. If the power plant goes offline for any reason, the inertia of the turbines maintains the grid’s frequency for a window of time while another power source is brought online to replace the offline generator. 

Certain types of renewable energy, such as wind and solar photovoltaic, do not use rotational generators, instead using electronic inverters. But these renewable technologies include electronic sensors that can respond to changes in frequency quickly, and can replace the need for rotational inertia.Synthetic inertia – Inertia provided without synchronous generators and refers to the transfer of active power into the grid from a grid-forming inverter. This type of inertia can provide the same, or even better, stabilization services as traditional inertia because it has an instantaneous effect.

Interconnection

The process of connecting new power sources, like renewable energy generators or energy storage systems, to the existing grid infrastructure. It involves integrating these new sources with the grid’s transmission and distribution networks, ensuring a stable and reliable flow of electricity.

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