CEO’s Message – November 2024
Supplying a Balanced Energy Diet
Solar generation is a popular topic we hear about from members. Whether we are chatting at a community rally or on social media during an outage, our members are often curious about how solar fits into the future of electricity generation.
Surprisingly, politicians in both major parties agree that solar generation is an important part of America’s energy future. Such agreement is quite the feat these days, as I am sure we will all be reminded this month. The real debate is about how solar helps support a balanced energy mix.
I heard an analogy the other day that sums up this discussion well. I want you to think of electric generation in terms of nutrition.
When it comes to Wells Rural Electric Company, hydroelectric generation is a balanced diet.
The Pacific Northwest’s hydroelectric dams represent a strong backbone of dispatchable baseload generation. In other words, hydro is the driving force for meeting consumers’ nutritional needs or demand. The power of the river is constantly harnessed by hydroelectric dams, providing 3 square meals a day. Dispatchable generation, such as hydro, ramps up or down to meet increased demand during certain times of the year, such as when everybody cranks up their heat in the winter. Think of those times when you are extra hungry after a busy day.
Now, think of solar power in terms of supplements. Multivitamins, fish oil, creatine, protein shakes, etc., are just a few examples of supplements that can be used to give people an advantage to accomplish their health goals.
Solar can be exactly that.
Solar can fill in the demand around the shoulders where the baseload might be lacking. It can help pick up the extra load when the sun is shining and everything else is already running at peak levels. Think of solar as a healthy snack when 3 square meals aren’t quite enough. Solar power is a handful of almonds or a protein shake, that helps you get through an afternoon or after an intense workout. Those well-timed “snacks” can be vital to staying on track for your fitness goals.
Solar production is not a source of baseload generation. When the sun doesn’t shine, solar panels do not produce electricity. Also, demand for electricity typically peaks in the morning as people get ready for work and then at the end of the day when they arrive home. Solar hits maximum production in the middle of the day when demand is lower and current battery storage technology cannot reliably or affordably shift that generation to be used when we need it most.
Solar power is an excellent resource when used correctly, but it still cannot quite fulfill all our nutritional needs. As helpful as these supplements can be, they are not a replacement for a balanced diet. It is not healthy to live off multivitamins and protein shakes.
Ultimately, the energy industry needs baseload resources, such as hydro, to work in harmony with intermittent resources, such as solar power, to meet the needs of our members and the growth of our communities.
Best wishes,
Thad S. Ballard
CEO
