Fuel Security Assessment

A fuel security assessment evaluates whether the grid has adequate on-site fuel, logistics, and alternative supplies to withstand prolonged disruptions such as winter storms or pipeline outages. Assessments model generator fuel inventories, delivery constraints, and contingency plans to determine if load could be served under extreme scenarios.

ISO-NE and other regions conduct fuel security studies that inform winter reliability programs, dual-fuel mandates, and storage procurements. Analyses incorporate LNG imports, oil inventories, and the contribution of renewables plus storage to reduce reliance on firm fuel.

Results guide policy decisions such as retaining certain thermal plants, incentivizing storage, or investing in hydrogen-ready infrastructure.

Investors monitor assessments because they influence capacity market rules, ancillary products, and potential uplift payments tied to fuel assurance.

Technical Details

  • Models weather-driven demand, generator fuel consumption, and logistics
  • Evaluates inventory levels, replenishment timing, and contingency imports
  • Considers dual-fuel capability, storage, and demand response contributions
  • Outputs reliability metrics and mitigation strategies
  • Feeds into market rule changes and procurement initiatives

Why It Matters

Fuel security findings affect which technologies qualify for capacity payments and resilience incentives. Tera compiles assessment results, mitigation plans, and policy outcomes so stakeholders can anticipate reliability investments.

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