California’s Power Grid Turmoil Spurs Diesel Demand For Generators

California’s Power Grid Turmoil Spurs Diesel Demand For Generators

A record-setting heat wave pushed California’s power grid to the limit this week as California Independent System Operator (CAISO) called for customers to limit their electricity usage or risk widespread power blackouts. 

Fear of power rationing led top power consumers, such as hospitals, data centers, and manufacturing plants, to fill up their diesel storage tanks to ensure generators had enough fuel to prepare for future brownouts and blackouts, according to Bloomberg, citing fuel distributors in the state. 

The move to top off the tanks of diesel generators helped push supplies at storage facilities across the state to the lowest levels since 2019 — making the fuel primarily used in industrial applications even more scarce, resulting in higher prices. 

Source: Bloomberg 

“The buying spree comes as the state endures a record-breaking heat wave that’s pushed the electricity system to the brink. California on Wednesday declared another power-grid emergency after managing to avoid rolling blackouts on Monday and Tuesday,” Bloomberg noted.

And it wasn’t just commercial customers preparing generators for a grid-down situation. Residential customers, especially ones with Teslas, were filling up their gas-powered generators this week to ensure they had on-demand power to charge their EVs. 

Californians are learning the hard way after politicians and unelected officials spent years decarbonizing the grid by decommissioning fossil fuel power generators for unreliable solar and wind while ignoring nuclear has made the state’s grid susceptible to failure during peak demand hours. 

And somehow, the state wants to ban new sales of gas-powered vehicles by 2035. Instead of unreliable green energy sources, perhaps nuclear is the answer for California’s grid troubles

 

Tyler Durden
Thu, 09/08/2022 – 18:00

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