PJM issued emergency backup-generator warnings amid a record-setting heat wave in July, but ultimately did not call on large-load customers to use their backup generators. This incident marked the first public confirmation of such warnings and underscored PJM’s readiness to handle potential strain on electrical supply.
On July 2 and July 3, PJM alerted stakeholders in the Mid-Atlantic and Dominion regions that backup generator usage might be needed to ensure grid reliability following an emergency order from the U.S. Department of Energy allowing large-load customers to shift to on-site generation if necessary. However, these warnings turned out to be precautionary, as PJM never moved to implement an "Emergency Use of Back-Up Generators Action," which means no actual dispatch of customer-owned generators occurred.
This situation served as a real-world test of a new reliability measure designed to utilize backup generation in emergencies. Although the emergency procedure was not activated, the warnings indicated that PJM was prepared as electricity demand neared record highs.
The episode highlighted the evolving relationship between grid operators and consumer-owned generation. Providers like PJM are increasingly looking towards large-load backup generation to mitigate grid stress and emergencies. Former FERC Chairman Neil Chatterjee characterized this event as indicative of a shift in operational strategies, suggesting that reliance on distributed energy resources will likely become a common practice.
During this heat wave, PJM took several emergency measures as temperatures soared, including demand response programs that lowered load significantly. The grid operator sold a peak load of 162,713 MW, with unrestricted demand hitting an all-time high of 168,158 MW.
In response to inquiries, PJM confirmed that it did not execute an Emergency Use of Back-Up Generators Action and did not disclose the total megawatts available for backup generation. The current definition of large loads as per the DOE’s emergency order remains in effect until any changes are formally adopted.
Overall, this instance represents an initial operational peek into how PJM may manage flexible loads as the demand from sectors like data centers continues to grow, suggesting a proactive approach to handling electricity demands in future emergencies.
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