Two years after natural gas prices spiked, resulting in a jump in coal consumption for electricity (see Figure 1), natural gas prices have plunged to inflation-adjusted record lows. The Wall Street Journal reports drillers and producers are curtailing activity as storage bulges at the seams. Figure 1 United States Electricity Production by Source (eGRID) Figure 2 Natural Gas Futures Prices Price suppression is partly due to the recent mild winter and summer, which produced only a few early heat waves to stress the Southwest and West Coast grids. Electricity Prices Decoupling from Fuel Cost Electricity prices are rising because, as…
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I attended the Mid-America Regulator Conference in Minneapolis last week. This post features issues of the day presented by utilities, commissioners, intervenors, technology providers, and sundry stakeholders. Load Growth Back in the day, we canoed the rivers and streams of Northern Virginia, especially after significant rainfall, when the water was high and running fast, which made it interesting. Let's just say my canoeing skills would be the equivalent of graduating from the bunny slope on a ski resort. For the latter, I learned to snowplow to slow down, and for the former, don't take the paddle out of the water…
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This post features a lot of refined hydrogen content you can't find online. But before I get to hydrogen, here's an update: I always get a little excited to lead news cycles. After publishing Electricity Shortages and What to Do About It last Tuesday evening, The Wall Street Journal published The Coming Electricity Crisis on Thursday, including the following common threads: I wrote, "In one year (2023 v 2022), the forecast peak load growth for 2028 doubled…" The WSJ wrote, "Projections for U.S. electricity demand growth over the next five years have doubled from a year ago." I wrote, "Growth projections in Georgia,…
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The ESG cabal seems to be drawing up another hall of mirrors to persuade credulous stakeholders and bystanders that they are siphoning only carbon-free energy (CFE) from the electric grid. The Electric Power Research Institute calls it 24-7 carbon-free energy, oddly enough. “Large companies from Starbucks to eBay have pledged 100% renewable energy targets to offset greenhouse gas emissions from their electricity use. Recently, several large companies, including Google, Microsoft, and others, have started procuring something called carbon-free energy that more closely matches their corporate electricity load on a 24/7 hourly basis. This is known as 24/7 carbon-free energy.” Unquestionably,…
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It’s fall, and that means it’s harvest season. So, this week, we’re providing a cornucopia of micro rants and information. I’m Alexa, and I’m Here to Help This headline caught my eye, ‘Alexa, I’m cold’: Government teams up with Amazon for energy saving campaign. The world’s fifth largest company, dominant retailer, data center behemoth, and tech giant partners with the government to use its in-home listening device. What could possibly go wrong? I recommend 1984, the book. EV Repair Black Market The Wall Street Journal reported, via email, that totaled Teslas from Western nations are being shipped to Ukraine and a…
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Last week Michaels Energy delivered a webinar, Achieving Grid Resiliency with Thermal Energy Storage. There are about 70 gigawatts of refrigeration load in the United States frozen storage and chilled-water HVAC systems alone. That 70 GW does not include distributors like Sysco or U.S. Foods, grocery distribution centers like Walmart or Kroger, food manufacturers like Tyson or Nestle, grocery stores, convenience stores, or restaurants. Add it all up, and well over 10% of the total peak load in the U.S. is sitting there in bags, boxes, and buckets of food, waiting to be used as a flexible load-shifting and management…
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A couple of weeks ago, I drove across Southern Minnesota, starting in the SW where wind alley is, and therefore, hundreds, or maybe thousands of wind turbines. The following was my observation while cruising I-90. Since the turbines were not spinning, I can only assume that excessive wind forced the Midcontinent Independent System Operator to curtail several hundred megawatts of wind generation. This, for one reason, is why net zero is as worthless as a three-dollar bill, but also, utilities have power purchase agreements with these non-spinning resources, right? Who pays? The MISO hub prices were as follows that day.…
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The last two posts, Nuclear Power over the White Rabbit and the Clean Power Plan Corpse, demonstrated the fruits of an undiversified baseload fleet of power generation. Electricity prices, which were so low during most of my career that few cared about them, are soaring as natural gas - the basket in which all eggs lie - has become a global fuel. I predicted this as recently as 2017; Reverse Diversification Coming to a Utility Near You. Solar, wind, and storage will never compete with thermal baseload power generation in our lifetimes. I’m covering three things in this post due…
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Of 34 personality characteristics, my top strength, according to Gallup CliftonStrengths®, is “context.” What does context mean, according to Gallup? History. Gallup describes the history strength: “You look back. You look back because that is where the answers lie. You look back to understand the present. From your vantage point, the present is unstable, a confusing clamor of competing voices. It is only by casting your mind back to an earlier time when the plans were being drawn up that the present regains its stability. The earlier time was a simpler time. It was a time of blueprints.” Hmm. This…
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When I started at Michaels millennia ago, we had a brilliant walking encyclopedia of knowledge and engineering know-how. His name was Dave Hamilton, or Ham for short. He was probably 30 years older than me. My boss at the time said Ham knew the answer to any problem. Younger engineers would spend a few weeks to prove he was right. Scaling Electrification A couple of weeks ago, in the final of a series on electrification prompted by the EPRI conference in Charlotte, I wrote in Electrification at Scale that decarb fans need to 1) brace for consequences such as 9,000…
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