Electricity as a Journey

Anyone who has ever planned a long family road trip knows the intensive preparation travel requires.

Routes are mapped out in advance. Travel times are checked. Gas prices are compared and pit stops are determined. Maybe the departure time is shifted to avoid rush hour, or an alternate route is chosen in case traffic builds. The goal is simple: get where you’re going safely, affordably, and without unnecessary surprises.

Old Dominion Electric Cooperative (ODEC) and its 11 member distribution cooperatives take similar measures of strategic, long-term planning each day to ensure reliable electricity.

The power grid, much like the nation’s intricate roadway system, usually works quietly in the background. Electricity flows where it’s needed, when it’s needed. But during peak times—hot summer afternoons or cold winter mornings—the system is under heavier pressure. Those are the grid’s rush hours, and keeping electricity moving during them takes careful preparation long before demand shows up.

Planning for Traffic Before it Starts

Families don’t plan trips for the easiest part of the drive. They plan for the long stretches, the busy interchanges, and the unexpected slowdowns.

ODEC does the same when planning for reliability.

Instead of designing systems around average days, ODEC plans for the hardest ones, when electricity is needed most. Because ODEC and its members don’t have shareholders, they focus on people, never profits, in their forecasting. They forecast how much electricity communities will need and the necessary infrastructure required to support the grid days, months, and even years into the future. They study usage patterns, weather trends, environmental policy, and economic growth. Additionally, ODEC and its members strategically invest in grid upgrades to ensure the reliable flow of power throughout the system—all the way from generation facilities to the home or meter. Each investment is made with the member-consumers’ best interest in mind; what’s best for communities is at the heart of every decision ODEC makes.

That long-term view is essential, especially as electricity use continues to grow. New businesses, expanding communities, and increasingly electric lifestyles all add traffic to this proverbial roadway. According to the North American Electric Reliability Corporation’s latest Long Term-Reliability Assessment, the demand for electricity is expected to rise roughly 62 gigawatts by 2034-35 within PJM Interconnection, which coordinates power generation and movement across 13 states, including the territories ODEC serves.

Meeting that growth requires careful planning, strong partnerships, and a diverse mix of energy resources to keep the grid stable and dependable.

Managing Costs Along the Way

Smart travelers don’t just think about shaving time off their ETA; they also think about cost. They fuel up when prices are lower, choose efficient routes, and avoid unnecessary detours.

Many people have experienced this same concept when using rideshare apps. When demand for Uber or Lyft is high—during a storm, a major event, or rush hour—prices increase through surge pricing. Electricity markets work in a similar way. When demand spikes and supply is tight, prices rise.

ODEC, in close partnership with its members, use forward-looking strategies to manage these cost pressures.

ODEC’s long-term planning includes tools to manage fluctuating fuel prices, such as securing fuel supplies for future use and making investments that help keep costs predictable for members. Instead of making power or buying fuel at whatever the PJM market price happens to be each day, ODEC will lock in prices in advance for a portion of the electricity they expect to need in the future. Called a hedging strategy, this approach helps shield ODEC members from the equivalent of “surge pricing” during periods of extreme demand, such as heat waves or cold snaps.

This strategy has grown even more important as reserve margins—the cushion of extra power generation that protects against power shortages—tighten due to power plants prematurely retiring faster than new ones can be built.

These efforts may not be visible on a monthly bill, but they play a critical role in protecting members from sudden price swings and supply shortages—especially during peak demand.

Reliability, affordability, and responsibility are not separate goals. Like any good trip, they must be balanced together.

A Journey Built on Preparation

Most member-consumers never see this planning in action—and that’s exactly how it should be.

When electricity is available during the hottest days and coldest nights, it reflects years of preparation, coordination, and foresight. Just like a well-planned road trip, success often looks uneventful from the passenger seat.

But behind the scenes, the route was studied, the timing was chosen carefully, and the resources were lined up well in advance.

For years, to support our members, ODEC has been taking a long-term approach to planning. As demand grows and the road ahead becomes busier, a steady, member-focused approach remains one of the strongest tools for keeping the lights on—mile after mile.

Jack McCarthy

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