Utilities and the independent system operators (ISOs) who run the nation’s power grid warn that, without huge expansions of generating capacity, particularly from natural gas, the system may not be able to meet rising demand for electricity.But industry demand forecasts are highly unreliable and prone to exaggeration, particularly forecasts by PJM, the independent system operator that serves utilities in northern Appalachia.
Responding to PJM’s load growth forecast with expanded natural gas generation will set the stage for potential double-digit hikes in the price of electricity.