LegalReader.com  ·  Legal News, Analysis, & Commentary

Positive News

Texas Manages to Avoid Rolling Blackouts


— July 22, 2022

By intelligently dispatching flexibility into the right market, at the right time, asset owners and energy consumers unlock new revenues & savings, resilience, manage price volatility, while supporting the transition to a Net Zero future.  


Last week Texans got a taste of what is likely to become a common occurrence this summer – urgent requests to curtail electricity usage to help avoid rolling blackouts. But this is also an opportunity for organizations that can predict and react quickly to market volatility using demand side response and GridBeyond’s AI-powered platform to generate savings and revenue instead of being affected by the fluctuations of the grid.

Texas power grid operator, ERCOT, issued its second conservation appeal last week (July 13) and deployed a series of measures to avoid rolling blackouts as soaring electricity demand threatened to outpace available supplies amid the stifling heatwave. 

The conditions were expected to be similar to those experienced on July 11, when Texans and businesses responded by voluntarily conserving electricity and helping ERCOT successfully meet record power demand by reducing their energy use.

But following forecasts of inadequate supplies, on Wednesday July 13, the grid operator went further and deployed a series of emergency measures noting that temperatures above 100 degrees Fahrenheit (38 degrees Celsius), combined with record demand and forced thermal outages were the key contributors.

The first measure deployed was a Conservation Appeal at 11.36am, covering July 13 between 2-8 p.m. This notification is issued when projected reserves may fall below 2300 MW for 30 minutes or more. The state had projected Wednesday’s peak demand to hit 78,762MW. 

However, at 11:39, ERCOT issued a watch for a projected reserve capacity shortage noting that “no market solution [was] available” for July 13, 2022 14:00 – 21:00, which causes a risk for an Energy Emergency Alert (EEA) event, where controlled outages are possible.

By midday ERCOT took further actions to ensure stable supplies:

  • Non-Spin was called at 12:39pm and forecasted to be deployed for 11 ½ hours
  • Emergency Response Service (ERS) was called at 2:55pm (both ERS 30 and ERS 10)
  • Responsive Reserves Services (RRS)/Load Resources (LR) was called at 3:15 pm. This is the first time this mechanism has ever been dispatched in the summer.

The actions came after ERCOT began paying utilities an average of $5,000/MWh to keep generators running. That price is the highest the grid operator pays. During the period, prices hit the $4,500/MWh maximum price cap.

GridBeyond SVP North America Wayne Muncaster said:

“This is the third time this year that ERCOT has called on Texans to cut power usage and the second time it has warned of the potential for rolling blackouts. With temperatures expected to remain above 97 F into the weekend, we are not out of the woods yet and could see further conservation alerts and actions from the grid operator to prevent outages.

“While most hours in the Texas energy markets are unremarkable; low commodity prices, stable grid, plenty of generation in reserve and the Emergency Response Scheme (ERS) as a further back-up, under certain circumstances prices can spike. This is an opportunity for organizations that can predict and react quickly to market volatility using DSR and AI platform and transform generating saving and revenue instead of being affected by the fluctuations of the grid.”

About GridBeyond

GridBeyond logo courtesy of GridBeyond.
GridBeyond logo courtesy of GridBeyond.

The transition to a Net Zero economy is driving significant change in the energy sector. From the rise of renewables generation to the ever-increasing need for grid balancing services. The result is a significant requirement for scalable and real-time solutions to manage the energy system of tomorrow.  

At GridBeyond, our vision is to build a shared energy economy that delivers sustainability, resilience, affordability and adaptability through collaboration and innovation. By bridging the gap between distributed energy resources and electricity markets, our technology means every connected asset, whether its utility-scale renewables generation, battery storage or industrial load, can be utilised to help balance the grid. The benefit? 

By intelligently dispatching flexibility into the right market, at the right time, asset owners and energy consumers unlock new revenues & savings, resilience, manage price volatility, while supporting the transition to a Net Zero future.  

Using artificial intelligence and data science, GridBeyond’s technology balances and orchestrates energy generation, storage and industrial load in a coordinated system. GridBeyond’s intelligent energy optimiser, lies at the core of our services. By connecting load, generation, and storage assets with the opportunities of the energy markets our technology bridges the gap between distributed energy resources and the requirements of the power grid. 

Combining solvers, market access, and automatic trading in one place, including balancing services, capacity markets and the participation in the wholesale traded markets, our technology empowers C&I businesses, EV fleet operators, generators, and energy storage operators to maximise revenues and savings.

GridBeyond began commercially trading in 2010 and is home to the world’s first hybrid battery and demand network. Now a global player in the energy transition, GridBeyond provides a powerful combination of technological excellence, consultative approach and unrivalled expertise that enables its partners and clients have future-proof access to energy services, while supporting the wider electricity grid integrate more volatile renewables and make the leap to a greener future. All without impacting operations. 

GridBeyond delivers energy services, new revenues, enhanced savings, strengthened operations and sustainability to over 400 I&C sites worldwide, including some of the planet’s best-loved brands.

Recent awards and accolades:

The GridBeyond Academy

GridBeyond believes that education leads to better, more informed business decisions. We recognise that energy systems are rapidly changing, which is why our academy simplifies complex energy topics to ensure clarity and accessibility for all.

The GridBeyond Academy is an educational library with resources ranging from whitepapers, guides and insight blogs, through to live and recorded webinars, seminars and podcasts, as well as reports, briefings and statements on current energy market affairs. Resource levels vary from introductory/beginner, through to intermediate and advanced, for every level of understanding.

Join the conversation!