Extreme weather and electricity markets: Key lessons from the February 2021 Texas crisis

• Published in: Joule Vol. 6; no. 1; pp. 1 - 7
• Main Authors: Levin, Todd, Botterud, Audun, Mann, W. Neal, Kwon, Jonghwan, Zhou, Zhi
• Format: Journal Article
• Language: English
• Published: United States Elsevier Inc 19.01.2022; Elsevier
• ISSN: 2542-4351; 2542-4351
• DOI: 10.1016/j.joule.2021.12.015

Todd Levin is a principal energy systems engineer in the Center for Energy, Environmental and Economic Systems Analysis (CEEESA) at Argonne National Laboratory. His research interests focus on utilizing advanced optimization and simulation methodologies to model complex interactions in electricity markets and quantify the implications of domestic energy policies and regulations. He also maintains a strong interest in international energy development, examining optimal centralized and decentralized rural electrification strategies and a range of global energy security issues. Dr. Levin holds a BA in physics from Northwestern University and a PhD in industrial engineering from the Georgia Institute of Technology. Audun Botterud is a principal energy systems engineer in CEEESA at Argonne National Laboratory with a co-appointment in Laboratory for Information and Decision Systems at Massachusetts Institute of Technology. He analyzes the complex interactions between engineering, economics, and policy in electricity markets, in support of the transition toward a cost-efficient and reliable low-carbon energy system. He is particularly interested in grid integration of renewable energy and energy storage. Audun holds an MSc (industrial engineering) and PhD (electrical power engineering) from the Norwegian University of Science and Technology and was previously with SINTEF Energy Research in Trondheim, Norway. W. Neal Mann is a postdoctoral appointee in CEEESA and the Nuclear Science and Engineering Division at Argonne National Laboratory. His research interests include energy system modeling and design, nuclear energy, and energy storage for climate change mitigation and adaptation. He holds a BA in physics and music from Southwestern University and an MSE and PhD in mechanical engineering (nuclear and radiation engineering focus) from the University of Texas at Austin. Jonghwan Kwon is an energy systems engineer in CEEESA at Argonne National Laboratory. His research interests include operations research applied to electric power systems, power systems operations and planning, management of distributed energy resources, and market design and pricing. Dr. Kwon holds a PhD in electrical engineering power system from Arizona State University. Zhi Zhou is a principal computational scientist in CEEESA at Argonne National Laboratory. His research interests include optimization, machine-learning-based forecasting, decision making under uncertainty, and applications to power grid, electricity markets, renewable energy, and the interdependency between power grids and other infrastructure systems. Zhi Zhou received his BE in computer sciences from Wuhan University, MS in operations research and statistics, and PhD in decision sciences and engineering systems from Rensselaer Polytechnic Institute. In February 2021, an extreme cold event led to widespread power outages throughout the state of Texas and caused substantial detrimental societal and economic impacts. This event emphasizes that it is crucial to account for extreme weather patterns in planning the future power grid, a challenge that is increasingly important due to climate change. We outline a set of potential enhancements for competitive wholesale electricity markets that can help ensure that power systems are resilient against future extreme weather conditions.