What happens when energy demand spikes?

When you use electricity, whether you’re a homeowner turning on the TV or a business owner cooling your warehouse, it tells your energy company to generate and deliver current to you. But what happens when you multiply electricity use across millions of people using their power at different times of the day, whenever they want? 

We expect power will always flow. It sounds simple but the process is complex. The utility industry has been developing methods to ensure energy is available when customers need it for decades.  

Demand response programs are one way energy companies manage energy demand during peak hours to keep service reliable and cost effective. Alliant Energy's Smart Hours is one such program.  

Smart Hours participants enroll with one or more smart devices such as smart thermostats, water heaters and electric vehicle chargers. When we predict demand will spike, we schedule a Smart Hours event to automate a customer’s energy use. It doesn’t make the customer use less energy, just shifts when they use it to help us ease demand. 

These response programs really make a difference on days when we expect extreme temperatures and people need a lot of energy. For example, when it’s 90 degrees outside, most people use air conditioners. This drives up demand. Residential and business customers enrolled in demand response programs experience the same energy reliability while helping ease energy demand and making it more cost-effective for everyone. 

In addition to demand response programs, energy companies invest in renewable energy and advancing technologies to balance energy generation with customer demand. For example, battery storage systems store energy, typically from renewable sources when they generate an excess, to use later when it’s needed most.  

Learn more about the benefits of a balanced energy mix here.