A new 2025 Summer Assessment by the Federal Energy Regulatory Commission indicated the Southwest Power Pool is one of a handful of national grids that could see some “tight generation availability” this summer.
The assessment said SPP along with Northeast Power Coordinating Council (NPCC)-New England, Midcontinent Independent System Operator (MISO), the Electric Reliability Council of Texas (ERCOT), and PJM Interconnection are among those named in the Summer Assessment which is a time frame from June through September.
It stated they “may face a higher likelihood of tight generation availability due to above-normal electricity demand, periods of low wind and solar output, wildfires that disrupt available transfers and generator availability, and retirements of generation capacity.”
The assessment details that if normal operating conditions prevail, all regions of the country will have adequate generating resources to meet expected summer demand and operating reserve requirements; however, margins are getting tighter as generation resources retire and load increases largely due to hyperscale users, such as data centers.
If anticipated warmer-than-average temperatures occur, the electric grid will likely be challenged throughout the continental United States with increased uncertainty due to weather events, weather forecasting, and energy demand. In addition, load is expected to be higher this summer compared to the past four summers.
In addition, wholesale electricity prices are expected to be higher this summer as compared to last summer in most regions, especially in Northeast U.S. The increase in prices is partially due to higher natural gas prices at all major trading hubs across the country because of lower natural gas storage levels due to a colder winter than previous years.
Source: FERC release