What is a Peak Event?

Occasional storms, heat waves, and cold fronts as well as periodic power plant repairs and maintenance, have the potential to affect supply and demand for electricity. When demand is high and supply is short, power interruptions can sometimes be the result. A Peak Event is usually called in these situations in order to help conserve electricity. These events are based upon extreme weather forecasts, Electric Reliability Council of Texas (ERCOT) public market notices, and Direct Energy customer usage. A Peak Event is typically declared the night before the actual day of the event.

Building enough power plants to satisfy every possible supply and demand scenario is one possibility, but the cost and environmental impact of that would be tremendous. Thus, demand response programs like our Reduce Your Use Rewards Program are designed to be both fiscally and environmentally responsible ways to respond to occasional and temporary high demand periods.

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