WE
WE WILL
WE WILL TALK ABOUT THE NEXT SYSTEM COMING UP.
BACK TO YOU.
>>> NOW WE WILL GO TO THE PRESS
CONFERENCE FROM ERCOT UPDATING
EVERYONE.
EVERYONE.
EVERYONE. >> GOOD MORNING.
AS MOST OF YOU KNOW, THIS EVENT
IS FAIRLY UNPRECEDENTED,
REACHING ALL THE WAY ACROSS
TEXAS.
TEXAS.
TEXAS. GOING IN TO THIS WE HAD A
SIGNIFICANT NUMBER OF THINGS
UNAVAILABLE 2 TO RESTRICTIONS
ON THE GAS SYSTEM AND WE HAD
SOME WIND TURBINES THAT WERE
OUT.
OUT.
OUT. WE
OUT. WE EXPECTED THE DEMANDS TO BE
HIGH DUE TO THIS UNPRECEDENTED
COLD WEATHER ACROSS THE ENTIRE
STATE.
STATE.
STATE. DUE TO THIS, WE DID REACH A NEW
WINTER PEAK DEMAND FOR
ELECTRICITY LAST NIGHT BETWEEN
7:00 PM AND 8:00 P.M.
THE DEMAND STAYED HIGH EVEN
AFTER THAT, INTO THE EVENING
HOURS.
HOURS.
HOURS. THE TEMPERATURES CONTINUED TO
DROP.
DROP.
DROP. BEGINNING AROUND 11:00 P.M.,
MULTIPLE GENERATING UNITS AGAIN
TO TRIP OFF-LINE DUE TO THE
SEVERE COLD WEATHER.
AS A RESULT OF THE DECREASING
SUPPLY AND THE CONTINUED HIGH
DEMAND WE SAW DIMINISHING
RESERVES.
RESERVES.
RESERVES. THIS IS THE AMOUNT OF THE
GENERATION THAT WE HAVE IN
EXCESS OF THE DEMAND.
WE WERE SEEING DIMINISHING
RESERVES.
RESERVES.
RESERVES. AS THEY WERE DIMINISHING, WE
HAVE AN ESTABLISHED EMERGENCY
OPERATION PLAN THAT WE
IMPLEMENTED TO MAKE SURE THAT
WE WERE ABLE TO MAINTAIN THE
BALANCE BETWEEN SUPPLY AND
DEMAND ON THE SYSTEM.
THIS IS CALLED THE ENERGY
EMERGENCY ALERT PLAN.
IT ALLOWS US TO TAKE ADVANTAGE
OF ADDITIONAL RESOURCES THAT
ARE PROCURED TO BE USED ONLY
DURING EMERGENCIES.
DURING EMERGENCIES. WE USED THOSE ADDITIONAL
RESOURCES.
RESOURCES. HOWEVER, ADDITIONAL GENERATION
TRIPPED OFF-LINE AS THE EVENING
PROGRESSED.
PROGRESSED. AT 1:25 THIS MORNING ERCOT
ENTERED THE HIGHEST LEVEL OF
THE EMERGENCY ALERT PLAN.
AT THAT POINT ELECTRIC DEMAND
EXCEEDED THE AVAILABLE SUPPLY.
SO, WE HAVE TWO MAINTAIN A
BALANCE OF THE SUPPLY AND
DEMAND IN ORDER TO MAINTAIN THE
RELIABILITY OF THE SYSTEM.
THE ONLY THING THAT WE CAN DO
IS REDUCE DEMAND ON THE SYSTEM.
WE IMPLEMENTED THESE CONTROLLED
OUTAGES CURRENTLY IN PROCESS.
, PROGRESS.
, PROGRESS. WE DETERMINE HOW MUCH REDUCTION
IN DEMAND IS NEEDED TO MAINTAIN
THE SUPPLY/DEMAND BALANCE.
HOW MUCH REDUCTION WE NEED.
THEY DETERMINE WHERE AND HOW TO
IMPLEMENT THE REDUCTIONS ON
THEIR SYSTEMS.
THEIR SYSTEMS. EACH TRANSMISSION OWNER HAS A
LOAD RATIO SHARE OF THE AMOUNT
OF DEMAND THEY NEED TO REDUCE.
IF WE SEE A THAT WE NEED TO
REDUCE A CERTAIN AMOUNT ON THE
SYSTEM AND ONE OF THE
TRANSMISSION OWNERS HAS 20% OF
THE LOAD ON THE SYSTEM, THEY
HAVE TO FIGURE OUT HOW TO
REDUCE THE LOAD ON THEIR SYSTEM
BY 20% OF THE AMOUNT THAT WE
SAY WE NEED REDUCED.
AT THE HIGHEST POINT WE ASKED
THE TRANSMISSION OPERATORS TO
REDUCE 16,500 MEGAWATTS OF LOAD.
AS I MENTIONED, THE PRIMARY
DRIVER IS THAT WE HAVE ALMOST
34,000 MEGAWATTS OF GENERATION
FORCED OFF THE SYSTEM.
EITHER PRIOR TO THE EVENT OR
DURING THE THINGS THAT HAVE
GONE ON.
GONE ON.
GONE ON. THE TRANSMISSION OPERATORS TELL
US THEY ARE USING ALL THE WIRES
THAT GO TO DIFFERENT INDIVIDUAL
NEIGHBORHOODS WOULD THEY ARE
USING ALL THE FEEDERS DESIGNATED
FOR USE A IN THIS TYPE OF
OUTAGE WHILE TRYING TO AVOID
VERTICAL LOADS LIKE HOSPITALS
AND EMERGENCY RESPONDERS.
THESE OUTAGES WILL CONTINUE
UNTIL THERE IS SUFFICIENT
GENERATION BROUGHT BACK ONLINE
TO MEET THE DEMAND ON THE
SYSTEM.
SYSTEM.
SYSTEM. AT THIS TIME WE ANTICIPATE THAT
WE WILL NEED TO CONTINUE THESE
CONTROLLED OUTAGES AT SOME
LEVEL FOR THE REST OF THE DAY
AND AT LEAST THE FIRST PART OF
TOMORROW, PERHAPS ALL DAY
TOMORROW.
TOMORROW.
TOMORROW. BECAUSE OF THE SEVERITY OF THIS
EVENT AND THE AMOUNT OF LOAD
THAT HAS HAD TO BE SHOT, THE
ELECTRIC PROVIDERS TYPICALLY
ROTATE THESE OUTAGES, BUT THEY
HAVEN'T BEEN ABLE TO DO THAT
BECAUSE OF THE QUANTITY OF
OUTAGES.
OUTAGES.
OUTAGES. I WILL NOTE THAT WE ARE WORKING
TIRELESSLY TO GET THE POWER
BACK ON AS SOON AS POSSIBLE.
WE KNOW THAT THE GENERATORS AND
TRANSMISSION PROVIDERS ARE
DOING THE SAME IN.
NOW I WILL STOP AND TAKE
QUESTIONS.
QUESTIONS. >> THANK YOU.
BECAUSE I HAVE SO MANY ON THE
CALL I WILL START WITH A BRIEF
ROLL CALL.
ROLL CALL. WE WILL SEE IF THESE AFFILIATES
ARE ON THE LINE.
THEN, IF THERE IS TIME WE CAN
TAKE IF YOU ADDITIONAL
QUESTIONS.
QUESTIONS. FIRST, I WOULD LIKE TO SEE IF
THE ASSOCIATED PRESS HAS ANY
QUESTIONS.
QUESTIONS. >> HELLO.
>> HELLO.
>> HELLO. >> HELLO.
>> HELLO.
>> HELLO. >> GO AHEAD.
>> Reporter: I'M WITH THE
ASSOCIATED PRESS.
ASSOCIATED PRESS. CAN YOU ESTIMATE AS OF NOW HOW
MANY HOMES ARE WITHOUT POWER?
>>> THAT WAS AN ERCOT SPOKES
PERSON AND