Grid Optimization Could Save Billons and Meet Rising Demand, Expert Says

Washington D.C. – The U.S. electricity grid is significantly underutilized, but strategic improvements in grid management, particularly through the integration of batteries and demand response (DR) technologies, could save Americans billions of dollars while meeting surging electricity demand. This assessment comes from Tyler Norris, a J.B. Duke Fellow and Ph.D. student at Duke University, who highlighted this growing recognition in a recent social media post.

"There’s growing recognition that our grid is severely underutilized and by increasing utilization (squeezing more out of the system through batteries, DR, etc) we can both meet the increasing demand for electricity and save Americans billions of dollars," Norris stated. His research at Duke's Nicholas Institute for Energy, Environment & Sustainability focuses on electric power systems and grid flexibility.

The nation's power infrastructure faces mounting pressure from an aging system, more frequent extreme weather events, and rapidly increasing demand from new loads like data centers and electric vehicles. The current fragmented nature of the grid, with its limited inter-regional transfer capabilities, exacerbates these challenges, leading to inefficiencies and reliability concerns. Norris, who has previously served as an expert witness in utility commission proceedings and worked at S&P Global Platts and the U.S. Department of Energy, emphasizes that the grid's existing capacity is often not fully leveraged.

Integrating advanced solutions such as battery storage and demand response programs offers a pathway to higher grid utilization. Batteries can store excess electricity during low-demand periods and discharge it when demand peaks, smoothing out supply and demand fluctuations. Demand response incentivizes consumers, particularly industrial and commercial users, to adjust their electricity consumption in response to grid conditions or price signals. These measures can defer costly infrastructure upgrades and improve overall grid resilience.

Recent studies, including some co-authored by Norris, suggest that flexible loads, such as those from data centers, could unlock significant additional capacity on the grid without requiring major new infrastructure. This flexibility, combined with energy storage, is crucial for integrating intermittent renewable energy sources and managing the volatile demands of modern society. By optimizing the existing system, the U.S. can achieve substantial economic savings and ensure a more reliable and sustainable energy future.