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Hot Summer Ahead for Higher Energy Demand & Costs

June 26th, 2025 | by Anne Brock
utility lines at dusk

Last Updated on June 26, 2025 by Anne Brock

Chances are, you’re already feeling it.

Predictions indicate a sizzling hot summer ahead for the United States, with demand for electricity on the rise.

The Seasonal Temperature Outlook from the National Weather Service Climate Prediction Center is aglow in shades of orange, all indicating chances of above-normal temperatures this summer.  The Southeast has a 33% to 60% chance of above-normal temperatures.  Are you prepared?  Aside from the usual hydration and sunscreen, do you have a plan to curb your utility bills?

Electric Grid Challenged

Higher predicted temperatures prompt this response from staff at the Federal Energy Regulatory Commission, which released its Summer Energy Market and Electric Reliability Assessment:

“This summer, staff expects the electric grid to be challenged by higher-than-average temperatures throughout the continental United States and increased uncertainty from extreme weather events, weather forecasts, and electricity demand. Load is expected to be higher in summer 2025 compared to the past four summers. Moreover, wholesale electricity prices are expected to be noticeably higher in summer 2025 compared to summer 2024 across most regions.”

Does FERC’s analysis show the nation is ready to handle this increased summer demand for electricity?  Only under what it calls “normal operating conditions.”  It summarizes a trend in “increased uncertainty” of how far conditions could veer away from normal and what increased demand could look like.  The summary urges grid operators to plan ahead to avoid shortages.  Infrastructure upgrades are needed nationwide, operating reserves are getting a closer look, and reliability is a real concern.  FERC notes the ability for one region to transfer electricity needed by another region could also become uncertain in extreme conditions.  Heat, hurricanes and wildfires all add to the unpredictable mix, along with increased cybersecurity threats.

Energy Prices Rising

The analysis shows higher electricity prices in every region of the country, including the Southeast Electric Reliability Corporation or SERC that encompasses the Tennessee Valley Authority or TVA region.  However, the Northeastern US is expected to have the highest wholesale price increase in the nation.

The North American Electric Reliability Corporation’s 2025 Summer Reliability Assessment is also noted within the FERC report. Energy experts urge preparation to avoid forced outages.  It notes that this summer will be similar to the summer of 2024 in intensity. However, NERC assesses that the Southeast appears to have adequate operating reserves for summer.

Hot & Dry Predictions

Another prediction for a stressful summer comes from the Farmers’ Almanac.  The traditional publication called for rising temps even before the official June 20 start of summer.  It also calls for dry and hot conditions in the Northwest, with especially hot and humid conditions in the Southeast.

Gridlock & Solutions

Is American industry ready to withstand summer stresses to the grid?  The Gridlock report out last fall predicted challenges because of grid capacity not keeping pace with the demand that follows a growing economy.  What is the most responsive source of new energy-producing capacity?  A strong argument can be made that it’s clean, solar energy.

Contact us today for your solar solution.