Utility Dive•about 1 month ago
DOE orders diesel generators to be ready as electric sector prepares for Winter Storm Fern
Key Takeaway
The DOE's directive to prepare 35 GW of backup diesel generation underscores the urgent need for dispatchable, reliable capacity to maintain grid stability during extreme weather, signaling potential market opportunities for flexible generation and risks for large consumers.
AI Summary
- •The Department of Energy (DOE) has directed grid operators to prepare up to 35 GW of backup generation, primarily diesel, in anticipation of Winter Storm Fern.
- •This mandate highlights a critical and immediate need for dispatchable, reliable capacity to ensure grid stability during extreme weather events, signaling potential market value for flexible generation assets.
- •Large power consumers should prepare for potential grid instability, high energy prices, and increased reliance on demand response or self-generation capabilities during such periods.
- •A consumer advocate has raised concerns about the feasibility and workability of deploying such a large volume of backup generation, suggesting potential operational challenges and grid stress.
Topics
capacity-marketpolicysimple-cycletransmission