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Energy storage is a simple concept: Generate electricity when it's cheap, and stow those electrons away until you need them. While large-scale batteries are still relatively expensive, they're becoming increasingly popular among utilities as more solar and wind farms are built. Those Electric Company Near Me facilities generate cheap electricity, but only when the sun is shining or the wind blows. That doesn't always line up with when homes and businesses are using energy — hence the growing interest in batteries.
Who ensures that customers have electricity if an unregulated or lightly regulated power provider — say, a company that runs power plants and sells directly to businesses — goes bankrupt? Should there be a single state agency to set policies for and oversee the entire market? (The Compare Electricity oversees the major utilities, but those utilities’ role in supplying power is diminishing.) As more customers buy or generate their own electricity, how should the utilities, which still own and manage the grid, be compensated?
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As many as a dozen groups have begun aggregating residential and commercial-industrial consumers under a law that allows alternative electricity providers to take over utility customers. In addition, retail providers and large commercial buyers are seizing the moment and urging lawmakers to extend the opportunity for the direct purchase of electricity by consumers outside such aggregations.
State lawmakers expected the price of electricity to decrease due to the resulting competition; hence they capped the price of electricity at the pre-deregulation level. Since they also saw it as imperative that the supply of electricity remain uninterrupted, utility companies were required by law to buy electricity from spot markets at uncapped prices when faced with imminent power shortages. [Energy Prices]
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Unspecified energy is the amount of energy not specifically claimed by a utility under the Power Source Disclosure Program. This category includes spot market purchases, wholesale energy purchases, and purchases from pools of electricity where the original source of fuel can no longer be determined. It can also include "null energy," energy from a certified renewable facility that has been separated from its renewable attributes (Gas And Electric Companies, or Best Electricity Deals) and sold separately.
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