Chilly Weather Pushes U. S. Power Grid to Its Limits

The U. S. power grid is under serious pressure due to a severe cold snap. Grid operators are taking extra steps to prevent power outages as freezing temperatures affect a large part of the country. The PJM Interconnection, which supplies electricity to 67 million people in the East and Mid-Atlantic, saw a huge spike in electricity prices on Saturday morning. Prices jumped from less than $200 per megawatt hour to nearly $3, 000 per megawatt hour. This price surge happened because the cold weather increased electricity demand and caused some natural gas production to shut down. Gas pipeline supplies also faced constraints, making it harder for grid companies to meet the demand. As a result, regional grid operators are asking power plants, like those that burn coal, to increase their output. In the Midwest and South, the Midcontinent Independent System Operator (MISO) called on power plants to produce as much electricity as possible. They also stopped exporting electricity to avoid shortages. Some power plants had to go offline or reduce their output due to the freezing temperatures, so this emergency action is crucial to keep the lights on.MISO's spot wholesale electricity prices in Minnesota reached nearly $500 per megawatt hour because of transmission bottlenecks. Meanwhile, prices in the southern territory remained low, around $50 per megawatt hour. In New England, fuel oil generation increased to help conserve natural gas, which is the region's main fuel source. Early Saturday, oil-fired generation made up 26% of the New England grid's output, compared to the usual 1% or less. Natural gas accounted for 28% of the grid's generation output. New England spot electricity prices were more than $300 per megawatt hour, double the price from Friday. This situation highlights the challenges the U. S. power grid faces during extreme weather conditions. It also shows how important it is to have a diverse mix of energy sources to meet demand and keep the grid stable.