Category Archives: Demand Response

UPDATE: Demand Response Helped Texas Avoid Rolling Blackouts in the Face of Polar Vortex

Good news for clean energy in Texas!

Source: KXXV

Source: KXXV

The Electric Reliability Council of Texas (ERCOT), Texas’ power grid operator, presented a report recently confirming what we already knew: demand response is a worthwhile investment that strengthens Texas' power grid.

Demand response is an innovative tool used by utilities to reward people who use less electricity during times of peak, or high, energy demand. In effect, demand response relies on people, not power plants, to meet the demand for energy. And on January 6th when the Polar Vortex hit Texas, it did just that.

Demand response kept the lights on in Texas by providing more than 600 megawatts of power to the electric grid within 45 minutes. Again on January 18th, demand response came to the power grid’s rescue, when a malfunctioning power plant failed to provide electricity despite mild temperatures and fairly low power demand. As noted before, this report highlights events that occurred during the winter of this year, at a time when Texans do not typically expect the power grid to be strained, unlike the summer. This means that a reduction in energy use – or negawatts – was able to stabilize the electric grid such that blackouts were avoided.

As shown in the report, ERCOT's Emergency Response Service is a reliability mechanism used during extreme events when the power grid is at risk of rolling blackouts. Part of the program is the procurement of demand response, which was only in the pilot phase last year, but has now been formally adopted. This program was utilized during the extreme weather events this winter and relied on the participation of hundreds of Texas businesses, schools, local governments and individuals. Read More »

Also posted in ERCOT, Smart Grid, Texas Energy Crunch | Tagged , | Leave a comment

Demand Response Is the Best Cure for Texas’ Ailing Grid

Source: North America Power Partners

Source: North America Power Partners

The Texas Public Utilities Commission (PUC) has, yet again, kicked the can down the road on securing reliable energy to power the state’s growing population. The PUC, the state agency charged with managing electricity rates, meets to securely plan for the future, yet they continue to delay planning meetings. This will benefit no one in the short or long-run. To secure reliable power and safeguard against threats of blackouts, the PUC needs to keep pace with the times and leverage technologies that require little to no water, generate negligible carbon emissions, and can respond to the call for electricity.

Last week, the PUC decided to postpone indefinitely an important meeting, originally scheduled for May, to discuss Texas’ recent blackout scares. The PUC has been in a heated debate over Texas’ electricity market structure, and in the midst of backlash from stakeholders, they have decided to push the decision onto the Legislature in 2015. This is not necessarily in the best interest of the state. Texans were asked to conserve energy several times this winter after colder temperatures forced heating units to ramp up. This request to turn down thermostats for threat of rolling blackouts came at the same time the state power grid operator assured Texans that reliability is on the upswing. But it’s time Texas faces the facts. Read More »

Also posted in ERCOT, Renewable Energy, Smart Grid | Tagged , , | 1 Response, comments now closed

Secretary Moniz Deems Austin’s Pecan Street ‘Very Impressive’

Marita with Moniz

EDF's Marita Mirzatuny with Secretary Moniz at Pecan Street's Pike Powers Labratory

Earlier this month, I had the privilege of presenting a short summary of EDF’s Smart Power Initiative to Dr. Ernest Moniz, the U.S. Secretary of Energy. As a group of over 30 people piled into the Pike Powers Laboratory (including the lab’s namesake), the Secretary made his way in, beelined for some coffee, and sat down to hear all about Austin’s innovative and collaborative energy “ecosystem.”

Present was the Mayor of Austin, Lee Leffingwell, various cleantech entrepreneurs sponsored by the Austin Technology Incubator (ATI), representatives from the State Energy Conservation Office (SECO), and the Governor’s office, among others.

Everyone had the opportunity to speak to the Secretary in a roundtable format about the work their particular company or group is doing to solve energy problems, and as EDF’s representative, I reported on our Smart Power work in Texas. Read More »

Also posted in Energy Efficiency, Pecan Street, Renewable Energy, Smart Grid, Solar, Wind | Tagged | Comments closed

How Electric Vehicles Are Strengthening the Texas Power Grid and Improving Air Quality

Source: SAE

Source: SAE

San Antonio’s Southwest Research Institute (SwRI) brings Texas the latest example of an intelligent, demand-side resource that can play an active role in the power grid and offset the use of fossil-fuel power plants. Late last month, SwRI announced that its innovative vehicle-to-grid system got the green light from the Electric Reliability Council of Texas (ERCOT), the grid operator, to participate in the state’s electricity market. This system is able to control the charging and discharging for a fleet of electric delivery trucks, meaning that when the supply of electricity struggles to meet demand, the intelligent vehicle charging system can simply stop charging (thus lowering demand). This technology will significantly increase grid reliability, thanks to its quick response time, and effectively deter the need for firing up another dirty power plant.

In order to avoid a blackout, the supply of electricity to the power grid must equal the electric demand from customers. Conventionally, this balance is maintained by power plants that remain on stand-by, ready to respond at a moment’s notice. Every hour of the day, ERCOT precisely controls these power plants to keep the grid balanced. In the process, a power plant has to rapidly increase or decrease its power output, which decreases its efficiency and increases its carbon and pollution footprint, much like an a car revving its engine. Read More »

Also posted in Air Pollution, Electric Vehicles, ERCOT, Smart Grid | Tagged | Comments closed

Freezing, Scorching, or Not, Texas Needs More Demand Response

MaritaHeadshotAs we thaw out this week from our most recent arctic blast, Texas’ inexperience with ice and snow has been met with Internet memes and jokes. But dealing with extreme temperatures causes serious strain on our current energy system and exacerbates our “energy crunch,” signifying that the available supply of electricity barely meets the demand for that power.

However, as is typical of Texas, last week our weather was quite pleasant – in the 70s – and strains on the system due to weather events weren’t too much of a concern. Yet the Electric Reliability Council of Texas (ERCOT), the state agency charged with managing the flow of electricity for most of Texas, alerted an emergency situation despite mild temperatures. To avert disaster, ERCOT initiated demand response, “ask[ing] customers to raise thermostat settings to 78 degrees, typically a summer response intended to reduce demand from air conditioners.” A single malfunctioning power plant caused the problem. ERCOT declined to identify the plant involved. Read More »

Also posted in ERCOT, Extreme Weather, Smart Grid, Utilities | Tagged , , | Comments closed

Google Partners with Nest in Race to be Your Smart Home Provider

Marita Mirzatuny

This post originally appeared on EDF's Energy Exchange blog.  

On Monday, Google announced it is spending $3.2 billion to buy Nest Labs, the trailblazing company funded through its Google Ventures program and responsible for transforming “unloved” home products into beautiful, smart appliances. That’s a lot of money for a business with only two products: a thermostat and a smoke detector. Nest is not exactly reinventing the wheel, right? Well, actually they are.

Welcome to the Smart Home

Google’s move is a starting shot in the race to become the go-to smart home provider, putting in place stepping stones to realizing a future in which our homes will become one ecosystem – integrated and functioning as a whole. Customers are looking for smart appliances that can notify you when they are wasting energy or not performing properly. Plus, these innovative technologies provide customers with more opportunities to engage with and benefit from other cost- and energy-saving solutions, like demand response, rooftop solar power and electric vehicles. This puts customers in the driver seat, giving them insight and control over their daily lives in ways never before imagined (even if just to use automated, “set-it-and-forget-it” functionality). Read More »

Also posted in Renewable Energy, Smart Grid, Texas Energy Crunch | Tagged , , | 1 Response, comments now closed

Demand Response Helps Texas Avoid Rolling Blackouts in the Face of Polar Vortex

MaritaHeadshotAs we begin a new year, the outlook for 2014 looks bright.  But as the Polar Vortex has descended upon the U.S. over the last few days, we have been reminded of the past, specifically the winter of 2011 when Texas’ electricity grid stuttered under the extreme cold.

Monday, as a record-breaking cold snap whisked over the U.S., the Electric Reliability Council of Texas (ERCOT), the state’s grid operator, warned of possible blackouts, just as they did in 2011.  We were lucky this time, but in February of 2011 we were not, and blackouts occurred throughout the state.

ERCOT’s warning meant that the grid's power reserves “dropped below a comfortable threshold,” and the "system was just one step away from rolling blackouts” as the need for energy outpaced supply.  As these blackout threats loomed, two power plants succumbed to the cold and went down.  The loss in capacity amounted to about 3700 megawatts (MW), with 1800 MW lost due to the cold.  According to Dan Woodfin, ERCOT’s Director of System Operations, “if we had lost another unit it would have put us into an Energy Emergency Alert Three” – the stage that prompts rolling blackouts.  This is unnecessary and unacceptable. Read More »

Also posted in ERCOT, Extreme Weather, Renewable Energy, Texas Energy Crunch, Wind | Tagged , , | Comments closed

Texas is a Leader in Clean Energy Jobs. Let’s Keep It that Way.

Source: UCSUSA

Source: UCSUSA

Over the past several years, a combination of market forces and targeted policies has brought about enormous growth in clean energy technologies around the United States. A clean energy economy has developed around these new technologies, creating tens of thousands of homegrown jobs each year. Despite the industry’s initial surge, recent economic uncertainty has led to a plateau in clean energy job growth in most, but not all, regions in the U.S.

According to a report released by Environmental Entrepreneurs, the U.S. created 10,800 clean jobs in the third quarter of 2013, down from 37,000 in the previous quarter.

Notably, Texas doesn’t follow the national trend. Texas clean energy companies created over 660 jobs in the fall quarter of 2013 alone, up from less than 500 jobs in the previous quarter, cementing Texas in the list of top 10 states for clean energy jobs. Read More »

Also posted in Climate Change, Energy Efficiency, Green Jobs, Renewable Energy, Texas Energy Crunch | Tagged , , , , | Comments closed

Debate Over a Changing Texas Energy Market Heats Up at Senate Natural Resources Committee Hearing

Marita Mirzatuny

This commentary originally appeared on EDF's Energy Exchange blog.

Over the past two years, Texas’s changing energy landscape has been a focus of EDF’s work.  In our Texas’ Energy Crunch report from March 2013, we highlighted that Texas has a peak capacity constraint – meaning that the power grid becomes strained when, for example, everyone is using their air conditioning units on hot summer afternoons.  This challenge, coupled with increased climate change and drought, signal the need to prepare by adopting a smarter grid and cleaner resources.

The Public Utilities Commission of Texas (PUCT) and the Electric Reliability Council of Texas (ERCOT) have been engaged in this conversation and various proposals have been laid on the table to determine what Texas’ energy future will look like.  EDF maintains the position that, whatever reforms are made, customer-facing, demand-side resources – defined here as demand response (DR), renewable energy, energy efficiency and energy storage – must play a key role to ensuring reliability, affordability, customer choice and environmental improvements.

Energy-Only Status Quo or Capacity Market or…?

Texas’ current energy-only market structure pays power plants only for the energy they produce.  This is beneficial in that generators are not overcompensated, but the downside is that energy companies aren’t incentivized to build in Texas and energy management providers (DR companies) are not viewed as equal players.  Energy prices are low due to an upsurge in cheap, abundant natural gas and wind – and without a guarantee for a high return on investment, companies will not take the risk of constructing costly new power plants. Read More »

Also posted in Energy Efficiency, ERCOT, Renewable Energy, Smart Grid, Texas Energy Crunch | Tagged , , | Comments closed

A Future Of Hotter Summers Will Stress Energy And Water In Texas

With Labor Day behind us, Texans can look forward to a welcome respite from the hundred-degree days of August. The pending arrival of fall may signal milder temperatures for now, but the latest report from John Nielson-Gammon, Texas’ state climatologist, tells a different story about Texas’ long-term climate trend. The study released last month indicates that peak summer temperatures may increase by up to five degrees by 2060. What we once thought of as a unique heat wave (think back to 2011) are likely to become the new normal, and will eventually – according to Nielson-Gammon – be replaced by even hotter temperatures.

At the same time, increasing temperatures would place further severe stress on the state’s energy and water systems. Texas’ recent extreme summers have already plunged much of the state into drought. The latest data released by the U.S. Drought Monitor predict water emergencies could occur in at least nine U.S. cities—five of which are in Texas. And experts expect the drought will persist for years to come as climate change intensifies.

Texas lawmakers must take these grim projections into account as they plan the state’s energy and water futures. Some Texas decision makers are already calling for more fossil-fuel power plants to cover the need for more power (to run all those air conditioners) in light of 2011’s historic summer highs, which will emit more carbon pollution into the air and add to the warming. These same Texas lawmakers insist we should keep our heads in the sand, ignore the mounting evidence pointing to a new climate normal and do nothing to alleviate or adapt to the problem. Read More »

Also posted in Climate Change, Drought, Energy Efficiency | Tagged | Comments closed
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