Image Source: CC0-WithAttirbution: Flikr5376672_558ca02eef_z-2.jpg

Shown: A “Live Better Electrically” Gold Medallion.  

The 1940 Census Showed:

• Nearly 950,000 occupied housing units.
• 625,000 (65%) had a coal furnace.
• 182,500 (20%) had coal heating stoves.

Source: https://drloihjournal.blogspot.com/2017/02/coal-technology-that-changed-chicago.html

In March of 1956, the: “Live Better Electrically (LBE) & “Gold Medallion Home” marketing campaign touted the benefits of All-Electric Homes in TV and Print ads.  Additionally, an incentive was aimed at homebuilders to build all-electric homes.

LBE’s take on a modern home was an: All-Electric, Gold Medallion Home.   Compared to coal — which required a lot of daily maintenance (removing and disposing of ashes).  Additionally, “Fly Ash” (small dark ash flecks) was carried into the air.  Most of which landed in the home’s lawn.   Compared to a coal furnace, Electric Heat was both clean and maintenance-free.

To earn a Gold Medallion — the home must have electric; heating, water heating, kitchen range, and clothes dryer.  Other qualifications included built-in lighting and a minimum number of electrical outlets.   LBE’s goal was to sell 970,000 all-electric homes (nationwide) by 1970.  By 1960 — there were more than 850,000 Gold Medallion homes.   Some estimates say that 1 million homes’ goal was achieved (although specific data isn’t available).

Source: https://www.thespruce.com/gold-medallion-home-definition-1821516

LBE hired (then-actor) Ronald Reagan to host “General Electric Theater” — and take his tv audience on tours of his & Nancy’s All-Electric home located at 1669 N San Onofre Drive, Pacific Palisades, CA.

In 2017 — the Reagon home was demolished.  The 2/3 acre lot then became home to a; $22 million dollars, 12,000 square foot mansion + guest house — with vista views of mountains and canyons.

Copy This Link Below Into Your Browser To Learn More About & See The Reagon’s Home:

https://www.pacificpalisadeshistory.org/ronald-reagan-residence-general-electric-showcase-house

Fast Forward To 2020:

• California’s Building Standards Commission required newly-built homes to have enough Solar Panels to offset their electricity use.

Image Source: Shutterstock

• There are also incentives for homeowners to add a Battery to store electricity — to power the home after dark.

Image Source: Shutterstock

Shown: Residential Battery To Store Solar-Generated Electricity For Overnight Use

With California’s Solar Panel’s Requirement + Battery-Storage Incentive:  A buyer of a newly-built home can add these features (and into their mortgage), choose an all-electric home — and have little to no costs for heating, cooling and powering the home 24/7.

In 2021: The California Energy Commission (CEC) is proposing requiring all Newly-Built Homes To Be All-Electric — As Early As 2023.

An October 2020 workshop by the CEC appears to retain the following for now.

2 Different Requirements:

• Low-Rise Residential Buildings + Single-Family Homes: May have Natural Gas Heating & Appliances (or can Choose to be All-Electric).

• All other Residential & Commercial buildings: Must Be All-Electric

Sources:

https://www.npr.org/2018/12/06/674075032/california-gives-final-ok-to-requiring-solar-panels-on-new-houses

Click Here To Read Details About California’s Upcoming All-Electric Homes Mandate:  California’s Upcoming All-Electric Homes Mandate

Image Source: Pixabay

In TEXAS during 2020: Traditional Power Plants Produced 78% Of Texas’ Electricity

Natural Gas (51%), Coal (17%) & Nuclear (10%).

(In 2017: Coal fueled 30% Of Texas’ Electricity.)

Source: https://www.eia.gov/state/analysis.php?sid=TX

Renewable Energy – Wind 20% 

Image Source: Shutterstock

With 30,000 MW Capacity — Texas Leads The U.S. For Wind-Generated Electricity. **

161 “Wind Farms” are located in Texas (at the time this article was written). **

** Source: https://www.kxan.com/weather/green-energy-report-where-does-texas-rank-in-solar-wind-nuclear-energy/

Renewable Energy – Solar 2%

Image Source: Shutterstock

Solar “Farms” have large collections of PV (electricity-generating) Solar Panels

California is #1 For Solar Electricity Production — With nearly 32,000 MW capacity.

Texas ix #2 — With just over 9,300 MW capacity.

Source:  Solar Energy Industries Association: 2021 Quarter 2 Report.    https://www.seia.org/research-resources/top-10-solar-states-0

Note: To Skip This Section (About How Electricity Reaches Our Homes) — scroll down to the next double lines. 

Electricity’s Trip (Nationwide) From Power Generation Sources To Homes/Businesses

-OR- Scroll Past This Section

To: “A Power Grid’s Electricity Supply Must Match Demand At All Times.”

Electricity Transmission Lines

After electricity is generated, it’s carried long distances through Transmission Lines.  Next, it’s transferred into Electricity Distribution Lines. 

Image Source: Shutterstock

Transmission Lines Carry Electricity Long Distances — At Very High Voltage.

 Up To 300 Miles — Typically At 345,000 Volts.  Homes use 120-Volt & 240-Volt Service. **

Why Electricity Voltage Is So High During Transmission:

Higher Voltage Reduces Electricity Loss: 

• Electrical wires cause resistance.  The resistance causes electricity loss during transmission.

• Higher voltage = less electrical current.

• Less current going through wires = less electricity is lost.

Higher Voltage Reduces Transmission Costs:

• Higher voltage allows for thinner & more lightweight wires to be used.

Source: https://www.hunker.com/13418990/what-is-the-typical-voltage-for-power-lines

Source:  https://www.electricalclassroom.com/why-is-electricity-transmitted-at-high-voltages/

Electricity Distribution Substations

Electricity Transmission Lines connect to Electricity Distribution Substations. 

The substations then connect to electricity distribution lines.

Image Source: Shutterstock

Electricity Substations Reduce Electricity Voltage

Then Route It Into The Electricity Distribution Grid (details below).

• In Substations: “Step Down” transformers reduce electricity voltages (from 34,500-138,000 volts) — down to Distribution Lines voltages (typically 7,200 volts). **

Note: Substations have Circuit Breakers & Switches To:

• Disconnect individual electricity distribution lines from the substation.
• Disconnect the substation from the power grid.
• This is to accommodate emergencies.

Emergency Example:  An electric wire touches a tree — and creates a short-circuit.  The short-circuit draws far more electricity than the wires can carry.

Result: A circuit breaker trips — and disconnects that wire until the problem is fixed.

** Source: http://www.science.smith.edu/~jcardell/Courses/EGR220/ElecPwr_HSW.html

Above-Ground Electricity Distribution Lines

Bring Electricity (above ground) To Homes & Business.

Drop

A: “DROP” connects an above-ground distribution line — to a home/business.

It’s called: “Drop” — because power distribution lines are higher than a house connection.  So, the wires drop downward heading toward the house.

Source: https://www.thespruce.com/electric-service-drop-basics-1821517#

Pole Top “Drum” Transformers (above) Serve Above-Ground Electricity Distribution Lines.

A drum transformer is also a Step-Down transformer.  It reduces the electricity’s voltage — From 7,200 volts down to 240 volts.

• 2 wires come from the drum transformer.
• 3 wires go to the house/business.
• The 2 insulated wires carry electricity.
• The 3rd wire is an uninsulated ground wire.

The 2 Insulated Wires (coming from the transformer) — Each Wire Carries 120 Volts:  

• One 120-Volt line carries electricity — forward.
• The voltage & current reach peaks & valleys at the same time. **

• The other 120-Volt line carries electricity — backward.
• The voltage & current reach peaks & valleys at opposite times. **

• When these two 120-Volt lines are Combined — They create 240-Volts. **

• Small electricity users (like a TV) — need 120 volts.
• Large electricity users (like an electric kitchen stove) — require 240 volts.

** Source: http://www.science.smith.edu/~jcardell/Courses/EGR220/ElecPwr_HSW.html

Underground Electricity Distribution Lines

Service Lateral

A: “Service Lateral” connects a below-ground distribution line to a home/business.

It’s called: “Service Lateral” because the house’s connection — is at the same depth as the electricity distribution line.

Image Source: Pixabay

Underground Utility Transformers (the green boxes seen in lawns) are Step-Down transformers.

They work the same as the (above ground) Drum Transformers.

Inside Your Home — Electricity Enters The Circuit Breakers Panel

Image Source: CanStockPhoto

Circuit Breaker Panel (also called: “Service Panel”)

• The primary purpose of a circuit breaker panel is to route electricity to every part of the home.

• The primary benefit of a circuit breaker — is to protect the home’s wiring from carrying more electricity than is safe.

• Homes must have a circuit breaker panel of 100 amps or higher.   This is required by building code.

• 100 amps will provide electricity for a medium-sized home with some 240-volt appliances (like electric stove or electric clothes dryer) plus central air-conditioning.

Individual Circuit Breakers

The Math: Amps = Watts / Volts. 

• A 15-Amp Circuit Breaker’s maximum capacity = 1,800 watts.   The Math: 15 amps = 1,800 (watts) divided by 120 volts (standard household voltage).

• BUT most circuit breakers handle up to 80% of their rated capacity — for 3 or more continuous hours.  The Math: 1,800 X 80% = 1,450 watts.

• Example: An Electric Space Heater on high (1,500 watts) — uses 12.5 amps.   Set to high — the heater use slightly over 80% of many 15-Amp breaker’s capacities.

• Electric heaters are limited to 1,500 watts because: Above 1,500 watts — a 15-Amp breaker will trip if most anything else uses that same circuit.

Source: https://braseelectrical.com/what-appliances-should-be-on-a-dedicated-circuit/

Texas’ Feb 2021 Electricity Crisis

What Occurred Just Days Before ERCOT’s Electricity Crisis:

(ON A SIDE NOTE: What Made Texas’ 2021 Energy Crisis Much Worse.)

Every Power Grid’s Electricity Supply

MUST Match Demand — At All Times

As discussed above — if electricity demand exceeds supply, electricity generators will go offline to protect themselves.

• Capacity: Expected (maximum) Electricity Supply.  **

• Demand: Expected (peak) Electricity Demand. **

• Reserve Margin: Maximum Capacity – Peak Demand. **

EXAMPLE: A 15% Reserve Margin Means: A power grid has +15% more electricity supply capacity than the (expected) peak demand. **

• NOTE: When ERCOT’s Reserve Margin is below 3,000 Megawatts — electricity prices spike to encourage more power plants & generators to come online. *3

• Some power plants (called “peaker plants”) — can come online quickly (if winterized).

** Source: ** https://www.eia.gov/todayinenergy/detail.php?id=6510

*3 Source:  https://www.kcentv.com/article/news/local/power-plant-ceo-explains-why-grid-improvements-lagging-in-texas/500-82812f2a-fd95-4ad4-a843-56d0b4fa718b

Reserve Margin Details:

• Electricity can’t be stored — and is not generated until it’s needed.

• Additional electricity can quickly come online to meet rising demand.

NOTE: ERCOT’s PHONE APP Shows: “Current Demand” & “Current Capacity”.   The difference is the Reserve Margin at that moment in time.

If Electricity Supply Exceeds Demand

• The electrical frequency rises (above 60 Hertz).
• Power plants must operate within a specific electrical frequency.
• If an imbalance isn’t restored — power plants start tripping offline (to protect themselves)

If Electricity Demand Exceeds Supply

• The electrical frequency drops (below 60 Herts).
• Power plants must operate within a specific electrical frequency.
• If the imbalance isn’t restored — power plants start tripping offline (to protect themselves).

Restoring Under-Supply Balance — Occurs In 1 Of These Ways:

• When ERCOT’s Power Grid’s reserves are below 3,000 Megawatts — prices rise to give plants & generators more incentive to come online.
• Some Power Plants have “standby” generators — that can start generating electricity quickly (details below).
• Some power plants (called “peaker plants”) can come online quickly (if winterized) — during periods of high demand.
• Peaker plants typically run only during peak-demand periods.
• Historically, Texas peaker plants were operational only during summer.

Source: https://www.kcentv.com/article/news/local/power-plant-ceo-explains-why-grid-improvements-lagging-in-texas/500-82812f2a-fd95-4ad4-a843-56d0b4fa718b

In 2020 Texas Had:

• 65 Peak-Demand Power Plants (peakers).  Most are powered by natural gas.
• 11  Peak-Demand Generators — inside year-round power plants (< 5 years old).
• These are natural gas-powered turbines, or internal combustion engine (like a car’s engine).
• These need 10 to 60 minutes to begin generating electricity (if winterized).

• 21 (steam-powered turbines) generators (50+ years old).
• Their steam production is separate from the turbine.
• First, the steam must reach a certain; temperature, pressure, and moisture-content — before it can power the turbine.
• These need more than 12 Hours to begin generating electricity (If winterized).

When NO Additional Electricity Is Available 

• First, a “Brownout” may occur.
• Electricity voltage is reduced by the Power-Grid.
• Voltage drops below 90 volts — for seconds or minutes.   Standard household voltage = 120 volts.

WHEN & WHY Texas’ Feb 2021 Electricity Crisis Occurred

Image Source: Pixabay

Feb 2021 Winter Peak Demand (estimate)

Exceeded The 2019 Summer Demand Record. 

• August 2019 — ERCOT stated a Summer electricity demand record = nearly 75,000 MW.

• February 2021 — ERCOT’s Winter peak demand (estimate) = 76,000 MW —  IF ERCOT’s power grid could have delivered it.

Sources:

https://comptroller.texas.gov/economy/fiscal-notes/2020/august/ercot.php

http://www.ercot.com/content/wcm/lists/219736/ERCOT_Fact_Sheet_2.12.21.pdf

https://www.psehealthyenergy.org/wp-content/uploads/2020/05/Texas.pdf

https://www.eia.gov/todayinenergy/detail.php?id=45956

WHEN: Texas’ Feb 2021 Electricity Crisis Occurred

During 2020-21 Winter — ERCOT Had Planned For:

• ERCOT’s (total) Electricity Generation Capacity = up to 82,513 MW (MegaWatt ***).
• ERCOT forecasted that up to -14,000 MW might be offline at some point during the winter.
• This left 68,500 MW available — IF every (other) power generator had been running.

• 76,000 MW was ERCOT’s peak demand estimate (during the Feb. 2021 winter storm) — IF ERCOT could have delivered it).  
• Even with every generator running — ERCOT’s Reserve Margin is too low to accommodate an extreme cold weather event.

And more All-Electric residences are being built every day in Texas (details below).

*** Note: 1 MW = 1 Million Watts (1,000,000).

Texas’ Feb 2021 Electricity Crisis Timeline:

Friday, Feb. 5

• Weather forecasts for extreme cold began (10 days earlier).
• In response, ERCOT asked customers to conserve electricity, and warned that outages were likely.

Wednesday, Feb. 10

• ERCOT instructed electricity generators to prepare for extreme cold (ERCOT has no enforcement authority).

On: Feb 10- 11, Feb. 13–17, & Feb. 18-20, 2021 — 3 Severe Winter Storms Swept Across The U.S. 

Monday, Feb. 15 (early AM):

• Record Low Temperatures Arrived In Texas very early on Monday, Feb 15, 2021.
• DFW’s temp reached -2° F — the coldest in 70 years.

• Electricity Demand = over 69,000 MW.  (ERCOT’s estimated 76,000 MW demand would have occurred IF ERCOT could have delivered it).
• Electricity Supply = 54,500 MW was available.

Bill Magness, ERCOT’S President & CEO said: “The Texas power grid was minutes & seconds away from a collapse.   If we had allowed a catastrophic blackout to happen, we’d be talking about how many months it might be before you get your power back.”

• Rolling Blackouts Began. 

Once the reserve margin is exhausted –Rotating Outages / Rolling Blackouts are temporary electrical service interruptions initiated by a utility.

• 1:20 am: -10,800 MW of electricity demand was “shed”.

Note: “Shed” is an industry term that means: “Rolling Blackouts forced electricity demand offline.”

• By 2 am —  an additional  -8,500 WW was shed.
• A Peak Of -19.3 MW of electricity demand was “shed” during the cold weather event.
• At the peak of the Rolling Blackouts — up to 4.5 million Texans were without power.

• ERCOT said: “Extreme weather conditions caused many generating units (across all fuel types) — to trip offline and become unavailable.”
• The Feb. 2021 rolling blackouts were expected to be limited up to 15 minutes — then move to another area.

• Without Rolling Blackouts (to restore electricity supply & demand) — additional generators will overload, then go offline to avoid damage.
• This is known as a “Cascading Failure” of a power system.

Cascading Failure Defined:  With any interconnected system — the failure of any part — triggers failures of successive parts.

Tuesday, Feb 16: ERCOT said: “No net gain in (electricity) generation.”

Wednesday, Feb 17:  Moderating temperatures reduced Rolling Blackouts.

Thursday, Feb 18: The last rolling blackouts were canceled.

Friday, February 19 ERCOT Announced:

• 9 a.m. – Return To Emergency Operations — Level 2
• 10 a.m. – Return To Emergency Operations — Level 1
• 10:35 a.m. – Returned To Normal Operations

*2 Source: http://www.ercot.com/news/releases/show/216844

*3 Source: http://www.ercot.com/content/wcm/lists/226271/Texas_Legislature_Hearings_2-25-2021.pdf

Wholesale Electricity Prices During The Crisis

• The Public Utility Commission (PUC) ordered ERCOT to increase electricity prices to $9,000 per MWh (MegaWatt hour).
• This was done to encourage more electricity generation during the Rolling Blackouts.
• Pre-storm prices were under $50 per MWh, according to ERCOT.

Source: https://newsroom.cpsenergy.com/update-as-of-monday-february-15-2021-255-am-power-emergency-conservation-critical-rotating-outages-have-begun-ercot-grid-operator-issues-power-emergency-across-the-state-of-texas/

WHY: Texas’ Feb 2021 Electricity Crisis Occurred

Nearly 2/3 Of Texas Residences Have Electric Heat.

Image Source: CC0-WithAttirbution: Flikr5376672_558ca02eef_z-2.jpg

What’s Causing Frequent Winter Electricity Shortages In Texas

Texas’ Feb. 2021 Electricity Crisis was caused (in part) by somewhat obscure events.  Texas’ population has grown rapidly — and many new residences were built.

• Newly-built Detached (single-family) homes in Texas may have gas or electric heat.

• Most (if not all) Newly-Built Attached Housing (like apartments & townhomes) In Texas Are All-Electric.

• Texas’ population growth and newly-built residences are creating skyrocketing winter electricity demand in Texas.

A Factor That Contributed To Texas’ Feb 2021 Electricity Crisis

1. Texas’ Population & Housing Growth –

The 2010 Census Reported:

• Texas population was just over 25 million residents
• There were 9.8 million residences (all types of residential structures).
• During 2010–2019 +4 Million New Residents Moved To Texas.

In July 2019:

• Texas population was nearly 29 million residents.
• There were 11.3 million residences (all types of residential structures).
• During 2010–2019: +1.56 Million New Residences Were Built In Texas. *5

Electricity Demand — By Individual Texas Household

• Texas household’s Heating Demand is -14% lower.
• Texas household’s Electricity Consumption is +26% higher than the national average.
• This is largely due to the number of electrically heated homes.

*2 Source: https://www.keranews.org/business-economy/2018-01-23/nearly-28-000-apartments-were-built-in-the-dallas-area-last-year

*3: Source: https://www.dallasnews.com/business/real-estate/2020/01/15/more-new-apartments-opening-in-d-fw-than-any-other-us-metro/

*4 Source: https://www.realpage.com/analytics/more-apartments-on-way-2021/

A Factor That Contributed To Texas’ Feb 2021 Electricity Crisis

2. U.S. Power Grids Are InterConnected (EXCEPT in Texas)

• The Eastern Interconnection Power Grid Network includes; N. Dakota // South Dakota // Nebraska // Kansas // Oklahoma — AND all states EAST of them.

• The Western Interconnection Power Grid Network includes All States WEST of; N. Dakota // South Dakota // Nebraska // Kansas // Oklahoma.

• Buying electricity from other power grids isn’t possible — because ERCOT’s power grid isn’t interconnected.

As Compared: El Paso, Texas’ Experience — During ERCOT’s Feb. 2021 Electricity Crisis

• El Paso, Texas is connected to the Western Interconnected Power Grid Network.
• El Paso population 682,000.
• During the Feb 2021 storm — only 1,000 El Paso residents lost power in their homes for more than than 5 minutes.

Sources:

Electricity Reliability Council Of Texas (ERCOT) Service Area

ERCOT’s Service Area Covers 90% Of Texas.

ERCOT Does Not Serve: 

• El Paso County — in the western tip of Texas.
• Longview, Marshall, Texarkana  — in northeast Texas
• Beaumont & Port Arthur — in southwest Texas
• The Woodlands (a Houston suburb).

** Sources:

• https://www.nytimes.com/2021/02/21/us/texas-electricity-ercot-blackouts.html
• https://www.texastribune.org/2021/02/18/texas-power-grid-outage-ercot/
• https://www.texasmonthly.com/news-politics/el-paso-electric-winter-storm-2021/
• https://comptroller.texas.gov/economy/fiscal-notes/2020/august/ercot.php

Additional Factors That Contributed To Texas’ Feb 2021 Electricity Crisis

1. ERCOT’S Reserve Margin (peak electricity supply – demand) Is Way Too Low.

• 67,000 MW ERCOT’s Winter Forecast for peak electricity demand.
• 76,800 MW  ERCOTS Estimated peak demand During The 2021 Storm — IF Texas’ Power Grid could have delivered it.

• 82,500 MW  Total Texas Power Plants Generating Capacity (IF every generator is running) — according to ERCOT.
• ERCOT forecasted up to -14,000 MW might be offline at some point during the winter.
• 68,500 MW available (if every other generator had been running).

• ERCOT planned for 67,000 MW — coming from power plants (powered by; natural gas, coal, and nuclear).
• -30,000 MW (-44%) of Power Plants production — was offline at one point during the storm.
• ERCOT reported up to –356 (-50%) generators were offline (of 710 total) at one point.

2. Lack Of Natural Gas During The Storm — Due To Frozen Gas Distribution Equipment

• Texas’ natural gas supply plummeted — due to (unweatherized) natural gas distribution equipment.
• The U.S. Energy Information Administration said: “Texas’ natural gas production was down to as much as -45% from the previous week.”

• Up to -9,000 MW of electricity wasn’t available (due to lack of natural gas).
• 9,000 MW would have served around 1.8 million homes.
• Rolling Blackouts had shut power off to some natural gas pipelines.
• Additionally, many idle power plants could not be brought online due to extreme cold — and not having been winterized.

NOTES:

• Natural gas pipelines can obtain: “Critical Load Designation” — protecting them from Rolling Blackouts.
• Many pipeline operators never submitted their information to ERCOT.

A Factor That Contributed To Texas’ Feb 2021 Electricity Crisis

3. Wind-Generated Electricity

• Speculation blamed “frozen” wind turbines as responsible for the crisis.
• Texas has 30,000 MW of wind-generated electricity capacity.
• Yes, some wind energy — contributed to the crisis.   This was due, in part, to low wind speeds (details below).

Tuesday, Feb 16:

• -30,000 MW (-45% of 67,000 MW capacity) from Power Plants — was offline
• -16,000 MW (-53% of 30,000 MW capacity) from Wind — was offline.

Many of Texas’ Wind Farms Are Located Near Amarillo, TX.

• Amarillo’s wind speed on Feb 16 was 10-23 mph.
• Optimal wind speed for Electricity Generating Wind Turbines = 26-30 mph.

Source: https://www.timeanddate.com/weather/usa/austin/historic?month=2&year=2021

Source: Wind Energy Basics – NYSERDA    https://www.nyserda.ny.gov 

Wednesday, Feb 17:

ERCOT Said:

• -28,000 MW (-42% of 67,000 MW) from Power Plants — was offline.
• -18,000 MW (-60% of 30,000 MW capacity) from Wind — was offline.

• Amarillo’s wind speed on Feb 17 was 0-7 mph.
• Optimal wind speed for Electricity Generating Wind Turbines = 26-30 mph.

Source: https://www.texastribune.org/2021/02/16/texas-wind-turbines-frozen/

Source: https://www.star-telegram.com/news/politics-government/article249987264.html

Source: https://www.texastribune.org/2021/02/16/natural-gas-power-storm/

Source: https://reason.org/wp-content/uploads/texas-power-failures-what-happened-what-can-be-done.pdf#page=4

Source: https://www.texastribune.org/2021/02/16/texas-wind-turbines-frozen/

Source: https://www.npr.org/2021/03/06/974417969/texas-wont-reduce-16-billion-in-electricity-charges-from-winter-storm

Previous Texas Electricity Crisis Events

Severe Cold-Weather Events affected Texas in; 1983, 1989, 2003, 2006, 2008, 2011 & 2021.

Texas’ Deregulated Electricity’s History

On January 1, 2002, the Texas State Legislature deregulated their electricity industry.  George W. Bush, Texas’ Governor (January 17, 1995 – December 21, 2000) signed Deregulation Legislation and said: “The energy industry wanted it. The people wanted it. Both parties supported it. “Competition in the electric industry will benefit Texans by reducing monthly rates and offering consumers more choices about the power they use,”  **

Electricity Deregulation’s Goals

• Minimize monopolies that exist when a single electricity provider serves an area.
• Keep electricity prices lower — due to competition for several suppliers.
• Protect public safety.
• Fair treatment for customers.

• Bush’s prediction of lower-cost electricity generally came true.  Partly due to Texas’ inexpensive natural gas and abundant wind (powering wind turbines).
• But, the deregulated system has few safeguards and enforced rules.
• There is little (if any) financial incentive for power generators to weatherize.
• Additionally, increasingly frequent cold-weather events were never integrated into Texas’ electricity infrastructure plans.

NOTES:

These States Also Have Deregulated Electricity:

• Connecticut, Delaware, Maine, Massachusetts & New Hampshire.
• In these states (like in Texas) — competing private companies offer electricity purchase packages.

• All of these states ARE interconnected to the Eastern Power Grid.
• Only Texas is not interconnected.

Texas’ Deregulated Electricity’s Shortcomings

• Power Generation Rules were set by the energy competitors.
• Unlike all other power systems around North America — Texas has not enforced a “reserve margin” (extra power available. above anticipated demand).
• Without a Reserve Margin Mandate — any power company paying to winterize equipment — would have been at a competitive disadvantage.

• Regulation in Texas is performed by 1 nonprofit agency — the Electric Reliability Council of Texas (ERCOT)  which manages electricity flow.
• ERCOT is supervised by the Public Utility Commission (PUC) — which also oversees electricity transmission.

• As compared to regulators in other regions — ERCOT & PUC have little (if any) ability to regulate.
• Other regions submit an Annual Planning Report to ensure adequate electricity supply.
• Texas energy companies are not bound by those rules.

*3 AccuWeather’s Forecast Includes; missed wages, damages repair for homes and businesses, and clean-up costs throughout Texas.

Source: https://www.dallasnews.com/business/energy/2021/03/08/the-texas-winter-freezes-economic-toll-climbs-to-130-billion/

• Senate Bill 3 passed the House & Senate — with no votes against it.
• Governor Abbot signed Bill 3 into law — it was effective immediately.

• All electricity generators selling in Texas must follow Weather Emergency Preparedness Standards — as determined by the Public Utility Commission (PUC).
• The PUC has 6 months to prepare Weather Emergency Preparedness Standards.
• Natural Gas Facilities ALSO Must Follow PUC’s Weather Emergency Preparedness Standards.

• Inspections (to confirm weatherization) will be performed by the Texas Railroad Commission and ERCOT.
• Failure to weatherize equipment can result in penalties of up to $1 million — for each non-winterization offense.
• This also applies to Natural Gas Suppliers who serve electricity generating power plants.

A Heat Pump Can Heat Your DFW Home

Using Up To -1/3 Less Electricity Than An Electric Furnace (details below). 

NOTE: Gas furnaces are less expensive to operate than a heat pump — and create far less demand on the Power Grid.

Image Source: DreamsTime

Why A Heat Pump Is Less Expensive To Operate Than An Electric Furnace

• In winter — a Heat Pump extracts heat from outdoor air — and moves that heat indoors.

• It’s notably less expensive to move heat — than to create heat with electricity.

• A heat pump is most effective at temperatures around 25 to 30 degrees F.

• Below these temps — an electric furnace will begin to provide only the additional heat needed (beyond what the Heat Pump can provide).

DFW Fall & Winter Average High / Low Temps:

67  /  47  Nov

58  /  39  Dec

56  /  35  Jan

61  /  41  Feb

69 / 49  Mar

Note: Based on these average temps in DFW — A Heat Pump can typically provide all heat needed — all winter long.

During occasions when outdoor temps drop below 25:

• A Heat Pump supplies (most to some) of the heat.
• Actual Heat Pump efficiency is determined by the current outdoor temp.  Warm temps increase Heat Pump efficiency — lower temps reduce efficiency.
• The electric furnace provides only any additional heat needed (that the Heat Pump is unable to provide at that time.

Source:  https://www.google.com/search?sxsrf=ALeKk00ApsvSz1JSNu5SYDdApxe8sTUxUQ%3A1628533265078&lei=EXIRYdeQBJXRtQa9wqqQBA&q=average%20temperature%20in%20dallas%20by%20month&ved=2ahUKEwiX3ZOWx6TyAhWVaM0KHT2hCkIQsKwBKAF6BAgwEAI&biw=1097&bih=521&dpr=1.75

Heating-Costs Comparison

How To Compute How Many BTU’s Of Heat A House Needs Per Heating Season

• Dallas has 2,250 Average Heating Degree Days (HDD).

• On average — a house loses 1 BTU Per Cubic Foot For Each HDD (details below).

• A 2,000 Square Foot Home with 8 Foot Ceilings Has 16,000 Cubic feet.

• A 16,000 cubic feet home X 2,250 Heating Degree Days = 36,000,000 (36 Million) BTU’s of heat — needed each heating season.

At 11 Cents Per kiloWatthour (kWh):

• Electric Furnace costs $3.25 — to produce 100,000 BTU’s of heat. **

• Our (DFW example home) needs 36,000,000 (36 million) BTU’s of heat per heating season.

• 36,000,000 BTU’s — divided by 100,000 BTU’s = 360

• Cost To Heat (our DFW example home) With An Electric Furnace = $1,175 Per Heating Season.   

• 8.2 Heating Season Performance Factor (HSPF) Heat Pump costs $1.34 — to produce 100,000 BTU’s of heat. **
• Our Example home needs 36,000,000 (36 million) BTU’s per heating season.

• 36,000,000 BTU’s — divided by 100,000 BTU’s = 360

• Cost To Heat (our DFW example home) With A Heat Pump = $485 Per Heating Season.   

NOTES:

• HSPF is a standardized measurement of Heat Pump Efficiency.   HSPF ranges From 8.2 To 13.
• 8.2 HSPF was the U.S. minimum Heat Pump Efficiency requirement (when this was written).

The Actual Heating Demand Of Any Home Depends On: 

• The Home’s Energy Efficiency
• The Occupants’ Energy Use Behaviors.

** Source: https://www.intelligentheatandpower.com/btu-fuel-comparison-calculator/

Another Readily Available Way To Help Reduce Another 

Texas’ Feb 2021 Electricity Crisis

 Changing Energy-Use Behaviors 

This Is An In-Depth Analysis Of Texas’ Feb 2021 Electricity Crisis.  Al’s Plumbing, Heating & A/C in Plano, Texas provides maintenance & repairs for all brands of Central A/C, Gas & Electric Furnace, and Heat Pumps.  Additionally, we sell and install new HVAC Systems from American Standard (same company as Trane), Ameristar (same company as American Standard) and Coleman HVAC (same company as York HVAC).