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TODAY IN ENERGY: Coal plant retirements and high summer electricity demand lower Texas reserve margin

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TODAY IN ENERGY: Monday, July 2, 2018

Coal plant retirements and high summer electricity demand lower Texas reserve margin

The Electric Reliability Council of Texas (ERCOT), grid operator for most of the state of Texas, estimates a reserve margin of 11% for this summer—lower than previous years and ERCOT’s 13.75% reference reserve margin—indicating a smaller cushion of resources to meet summer peak demand and an increased risk of grid stress conditions. The lower anticipated reserve margin is mainly a result of three large coal plants retiring in early 2018 and forecasts of record-breaking summer electricity demand. 

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