NEW YORK (BLOOMBERG) — Power grids from Chicago to New York City are bracing for sky-high demand as sweltering heat builds across the eastern half of the US, potentially upending travel for the Fourth of the July holiday.
Temperatures are expected to broach 100F (38C) across an expansive portion of the East Coast beginning Thursday and extending into the weekend, with the most intense heat settling across Mid-Atlantic states. The heat wave will strain power systems and add to demand pressure that’s been driven in part by the data center boom.
High heat can also stress transportation infrastructure, causing roads to buckle and railroad tracks to swell. Delta Airlines is waiving change fees for flights through New York’s LaGuardia Airport this week because of hot weather and operational constraints, according to a service notice posted Wednesday.
Temperatures at the airport in Queens are on track to hit 102F Thursday, breaking a daily record set in 1966.
Amtrak has warned of potential delays on passenger trains in the Northeast, Southeast and Midwest from 11 a.m. to 7 p.m. through July 4, the federal rail carrier said on its website. New Jersey Transit trains into New York will also likely be delayed, the carrier said.
The Illinois Department of Transportation, meanwhile, has advised drivers to watch for pavement failures and uneven driving surfaces as the heat wave unfolds.
The largest US grid, operated by PJM Interconnection LLC, expects to break its all-time peak load record of 165.5 gigawatts on Thursday as heat and humidity drive up cooling demand throughout the East. The system’s previous record has stood since 2006.
PJM has struggled with affordability and reliability as data centers flock to its service area, which spans 13 states and Washington, DC. The grid operator warned Wednesday that plants should be prepared to support high voltages across its system as temperatures rise.
PJM also went a step further, appealing to the US Department of Energy for an emergency declaration that would press producers to operate at maximum levels.
DOE gave its sign-off Tuesday, authorizing power plants to sidestep some environmental requirements as they push equipment to its limit. PJM said backup generators are authorized “as a last resort” to shore up its system.
“Maintaining affordable, reliable and secure power in the PJM service territory is non-negotiable,” Energy Secretary Chris Wright said in a statement, which stressed that the department’s intervention was needed to help avoid power outages.
The federal orders are scheduled to expire before midnight on July 4.
Unseasonable heat or cold can create substantial challenges across the grid, forcing plant operators to put off much-needed maintenance to meet unexpected demand. July is typically the hottest month of the summer for North America, with the most oppressive heat usually coming later in the month, according to Brian Hurley, a senior national forecaster for the US Weather Prediction Center in Maryland.
“Ten to 15 degrees above normal is what we’re averaging in a lot of these areas,” Hurley said. “There’s not usually a lot of variability that we see this time of year.”
The heat results from persistent high-pressure systems that have pushed the jet stream to the north, he said, leaving warm air locked in place for days on end. The high temperatures come shortly after a record-breaking blast of hot weather across Europe.
Heat index values — a combination of air temperature and humidity — will surge past 100F Wednesday in parts of Virginia served by PJM, according to the National Weather Service.
As conditions worsen, wholesale prices across the Mid-Atlantic grid have begun to rise. Average day-ahead prices for on-peak hours at PJM’s benchmark Western hub jumped 185% to $329 per megawatt-hour, the highest since a historic winter storm swept the East Coast in January.
PJM’s Dominion region, which includes high concentrations of data centers in Virginia, saw real-time prices leap past $1,500/mWh on Monday and Tuesday evening.
Natural gas prices also have pushed higher this week, though summer heat isn’t the only factor. Flows to export facilities on the US Gulf Coast have increased, leaving less domestic fuel in the market for power plants to purchase.
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