In June 2023, Texas experienced a common heatwave with some uncommon consequences. As the temperature rose, so did the amount of stress on the state’s independent power grid. In turn, the price of electricity rose, too — all the way to $4,000 per megawatt-hour.

Despite the heat, many people were working hard — especially microgrid suppliers like Enchanted Rock. In a time of need, these companies supplied critical capacity to the Electric Reliability Council of Texas (ERCOT) market while reaping considerable benefits. 

As a company, Enchanted Rock was able to tap 95% of its 600 generators to supply 230 megawatts of power during uncertain times. It also kept power going for its own customers who experienced outages, a true testament to the resilience that microgrids offer to the community. 

Enchanted Rock’s Chief Commercial Officer Allan Schurr believes that Texas needs even more of these microgrids. “More distributed energy resources (DERs) and microgrids will meet the needs of fast-ramping capacity,” Schurr says.

How One Industry Is Benefitting From Microgrid Investment

Microgrids bring unmatched benefits to the utility landscape. They’re quick, clean, and reliable. They don’t take hours to get up and running, and since everything is local, there are fewer worries about transmission. 

Though it may seem as though the state doesn’t have the manpower to manage distributed resources, treating them like a portfolio may help. 

Even if some aren’t yet convinced about the benefits of microgrids, people in the food and beverage industry are, and there are plenty of good reasons for this. 

These businesses suffer when the power goes out because they’re in danger of losing thousands of dollars to spoilage. This doesn’t even begin to cover the loss of time and productivity that occurs when equipment stops working or when the crew has to clean the facility after a short outage.

It’s Time for a Legislative Change

For many, the choice is clear. Legislation is needed to support further microgrid development. This means having:

• Real-time pricing
• Incentives for microgrid installation
• Regulatory changes
• Equal access to grid operator price signals

Statewide change isn’t always easy, especially in Texas. In fact, many legislators have recently tried to make it even more difficult for microgrid developers to continue using renewable energy sources. 

Surprisingly, none of their bills passed. Instead, the legislature passed State Bill 2627 to provide $1.8 billion for additional microgrid development. Though many in the industry are shocked, they are also happy that officials are starting to recognize the importance of energy resilience.

New Ideas for a New Era

Some microgrid developers have even more ideas about how lawmakers can help communities. One proposed plan is to use electric buses as microgrids during storms to turn facilities like libraries into shelters. 

Another is to power businesses with microgrids to attract companies that care about sustainability. These efforts can often be paid for by selling energy back to the grid or through contracts with utilities.

Many believe that the United States will only continue to see a rise in the microgrid movement as the effects of climate change get more extreme. As a result, markets and business models will likely follow, ushering in a new era of energy independence for communities and the businesses that serve them.

Read the original article by Lisa Cohn to discover more.