Electricity demand fluctuates throughout the day due to various factors, and managing it is crucial for utilities. The outdated infrastructure of power grids is a potential threat to economic welfare. Electricity storage is inefficient, making it difficult to store energy during sudden demand. Utilities can match supply and demand by turning generators on and off and encouraging consumers to moderate their consumption. Governments maintain online graphs to track electricity demand.
Electricity demand is the amount of electricity consumed at any given time. It rises and falls throughout the day in response to a variety of factors, including the weather and environmental factors. Demand management is critical to utilities, and this became a growing problem in the late 20th century as utilities struggled to balance electricity needs with aging power grids. The infrastructure underlying the electricity grid is woefully outdated in many regions of the world and poses a potentially serious threat to economic welfare.
One problem with electricity is that it doesn’t lend itself well to storage. As a result, utilities typically generate power in an on-demand style, ramping up electricity production when power demand increases and slowing down when demand decreases. Electricity storage is extremely inefficient with existing technology, making it difficult for utilities to store energy in a time of sudden demand.
Electricity demand can vary greatly. At 5 a.m. during temperate weather, for example, demand is usually very low. People don’t have air conditioning systems turned on, heavy machinery often doesn’t work, and people aren’t engaged in activities like cooking, washing dishes, running water heaters, and so on in large numbers. Conversely, at 3am on a hot day, demand can surge, with businesses requiring lots of electricity to run their equipment while people use air conditioners to keep cool.
The difference between the extremes is important, because utilities need to be able to match supply and demand. This means generators can be turned on and off and slowed down or sped up to deliver what is needed. Utilities also have to balance needs like taking generators completely offline for maintenance and shutting down part of the grid for repairs. When a utility needs to shut down a power plant, you need to know that the electricity demand can be met by other facilities.
One approach to managing electricity demand is to build multiple generating plants that can be brought online to handle peaks. Another solution is to encourage consumers to moderate their electricity consumption. For example, people can be encouraged to purchase energy-efficient appliances, use appliances that automatically turn off when idle, and so on. These tactics reduce energy demand and help curb the steady increase in demand that has been documented in many regions of the world.
For those who are curious, some governments maintain online graphs that track electricity demand throughout the day. People can use these graphs to look at national and regional electricity consumption.
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