These incentivize customers to reduce, increase, or shift their electricity consumption in response to price spikes or grid reliability signals. Most programs encourage utility customers primarily through price incentives to shift electricity consumption from hours of high demand (relative to energy supply) to hours when energy supply is plentiful (relative to demand).
These encompass strategies and programs designed to influence electricity consumption patterns on the customer side of the meter. These initiatives aim to moderate electricity demand through methods such as financial incentives for energy conservation and energy efficiency measures, like improved insulation or the adoption of energy-efficient appliances.
Refers to electricity generation resources that power grid operators can control and adjust on demand to meet changing electricity needs. These include nuclear, hydropower, battery storage, and thermal power plants.
Small-scale energy generation and storage technologies located near the point where the energy is used, rather than at a centralized power plant. These resources–such as solar microgrids, rooftop solar, and battery storage–can be used to enhance or replace traditional energy sources and can operate independently or be connected to the main grid.
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.
The ability of a piece of electrical equipment to stay connected to the grid through a short-term disturbance, thus helping keep the grid stable through the event. Inverter-based resources, such as photovoltaic solar arrays, wind turbines, and battery storage, can provide disturbance ride-through services, but require specific design of their control system to do so.
In energy regulation, it is a formal proceeding or official record initiated by a regulatory body (such as a Public Utilities Commission or the Federal Energy Regulatory Commission (FERC)) to address a specific issue or project. It serves as a repository for all submitted documents, evidence, and public comments.
A visual representation of how solar power generation impacts the daily electricity demand curve, particularly in regions with high solar adoption like California. It depicts a dip in net electricity demand during midday due to solar generation, followed by a steep increase in the evening as solar output decreases and demand peaks.
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.
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.
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.
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.
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.
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.
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.
Wind turbines erected in bodies of water that harness the power of wind, converting it into electricity that is then transmitted to the mainland to power homes and businesses. Offshore wind farms are considered a renewable energy source.
The real-time balancing of energy supply and demand to maintain frequency and voltage within safe operating limits. It is the shorter-term dimension of reliability and requires regular monitoring and control of the entire grid. It includes the ability to quickly respond to sudden changes, like the loss of a major power plant or transmission line, and to handle normal variations in supply and demand.
The brief periods when electricity consumption is at its highest, often driven by factors like extreme weather or heat events. This is the highest amount of electricity demand for which a grid operator needs to plan.
A power plant that is designed to quickly ramp up and provide electricity during periods of high energy demand, such as during hot summer afternoons or cold winter evenings, to meet the increased needs of households and businesses. These plants generally only run during these peak events to supplement regular power generation.
A regulatory tool that ties a portion of utilities’ earnings to the utilities’ performance on desired regulatory outcomes, offering utilities opportunities to create the programs and services needed to advance emerging priorities.
