New York power grid expects demand to decline through 2028

The New York Independent System Operator released a new report that indicated energy usage is set to decline over the next decade at a rate of 0.14 percent per year over the next decade, with peak demand falling 0.13 percent during the same time.

In 2017, annual electric usage fell to a peak demand of 29,699 MW, down 7.4 percent from 2016’s peak and the lowest level since 2011.

The decline was pegged to the increased use of distributed energy resources as well as energy efficiency efforts.

“New technologies are pushing the boundaries of what consumers expect from the grid, while the growth of renewable and distributed energy resources is changing the dynamics of energy consumption and production,” said NYISO president and CEO Brad Jones. “The NYISO sees these challenges clearly and embraces the work and change necessary to meet them. We understand that these new expectations for the grid require an examination of the markets and planning processes that shape it.”

The report noted NYISO is currently fielding proposals to add more than 400 MW of battery storage to the grid, as well as the first 96 MW offshore wind project in the state.

Since 2,000, 3,000 MW of coal-fired generation shut down in New York, with the remaining 979 MW set to be shut down or turned into gas-fired units in 2020 due to state regulations.

Approximately 17,000 MW of renewable generation is set to come online over the next decade. New York has a goal of 50 percent renewable generation by 2030, up from 29 percent now.

Indian Point units one and two are set to close in 2020 and 2021 as part of a 2017 settlement between Entergy and New York state.