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Lack of supply during times of peak electricity demand usually during very cold or very hot days when heat and air conditioning usage is high. Most plants consume fuel faster than it can be resupplied. Additionally, during winter months, road conditions can be a challenge, causing reduced or unavailable truck capacity.
To avoid the last minute call for a large quantity of fuel for various plants, Guttman Energy’s approach is to look at expected weather conditions 2-4 weeks out. When we see the potential for increased power demand, we proactively call plants to see where they stand regarding inventory and whether they anticipate demand for fuel to run their plants.
With that information, we can try to lock in/procure additional product and transportation in order to meet the customer’s demands (sometimes using numerous supply points in the region).
The customer gains assured supply at times when supply shortages are likely. Increased and properly scheduled deliveries mitigate the imbalance between consumption and resupply, keeping power plants running continually.
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