Winter storms put the US power grid to the test. It failed.


People walk past workers attempting to repair a water line in Buffalo, New York, on December 26, 2022. | Joed Viera/AFP via Getty Images

America’s aging energy infrastructure and reliance on fossil fuels pushed local power grids to the brink.

Two-thirds of the US population faced snowstorms, high winds, or frigid winter weather over the Christmas holiday weekend, leading to at least 52 deaths and pushing the electricity grid to the brink of failure. And in many instances, it did. At its peak on Christmas, an estimated 1.7 million businesses and homes faced power outages.

It was the coldest Christmas in recent memory, and that meant a predictable surge in heating demand as temperatures dropped. The Tennessee Valley Authority, which provides power for 10 million people, for instance, said demand was running nearly 35 percent higher than on a typical winter day.

In many states, utilities and grid operators only narrowly averted greater disaster by asking customers to conserve their energy or prepare for rolling blackouts (when a utility voluntarily but temporarily shuts down electrical power to avoid the entire system shutting down). Some of the largest operators, including Tennessee Valley Authority, Duke Energy, and National Grid used rolling blackouts throughout the weekend. Texas also barely got through the emergency. On Friday, the US Department of Energy permitted the state to ignore environmental emissions standards to keep the power on.

One major transmission company that regulators thought would be well-prepared for the winter storm was caught off-guard: PJM Interconnection, which serves 65 million people in 13 eastern states, faced triple the power plant outages than it expected.

Officials probably could have met the higher demand if not for another predictable event that overwhelmed the system. Because of the extreme conditions, coal and gas plants and pipelines froze up too, taking them out of commission to deliver energy in areas that run mostly on gas.

The events over Christmas show how utilities and regulators continue to overestimate the reliability of fossil fuels to deliver power in a winter storm.

Frozen natural gas infrastructure cut into needed supply

It wasn’t that the country didn’t have enough gas to go around to meet the high demand. There was plenty of gas, but the infrastructure proved vulnerable to the extreme weather. Enough wells and pipes were frozen or broken to bring the grid to its brink.

For instance, for TVA, high winds, and cold temperatures affected equipment at its biggest coal plant and some of its natural gas-powered plants, according to the Chattanooga Times Free Press. “At one point Friday, TVA lost more than 6,000 megawatts of power generation or nearly 20% of its load at the time, with both units at TVA’s Cumberland Fossil Plant offline and other problems at some gas generating units,” the outlet reported.

It’s too early to know exactly the cause of power failures in every state, but some utilities struggled to generate enough power to meet demand. Early data from BloombergNEF shows that total heating and power-generation fuels for the county were about 10 percent below normal as of Monday.

The rolling blackouts and energy conservation alerts stemmed from the one factor big utility companies could still influence: consumer demand. Utilities asked millions of people to keep their energy usage low to get through the storms, by delaying laundry and dishwashers and keeping the thermostat running low.

This is a broad strategy known as demand response, where utilities attempt to shape electricity use by urging customers to change their energy use to avoid peak hours. But even those consumer alerts to reduce energy usage are a blunt, imperfect instrument. As my colleague Umair Irfan explained, rolling blackouts result in power reduction “across the board without regard for who is most vulnerable, what parts of the power grid are closest to the brink, or where the most effective cuts can be made.”

A focus on slashing energy demand has worked before for specific events — like when California and Texas experienced heat waves earlier this year. But there are better ways the US can prepare for peak demand in a winter storm or a heat wave. Part of the answer is better demand response, but that requires longer-term infrastructure investments in energy efficiency and smart meters.

This latest storm shows, yet again, that fossil fuels aren’t especially reliable in extreme weather. Yet so much of energy politics focuses purely on supply — the mining and extraction, and how much oil, gas, and coal is in reserve. It’s often taken for granted that this supply will always be accessible. In the meantime, we’ve failed to build more important infrastructure throughout our energy system; more energy storage, distributed power generation, interconnections across the major power grids, redundancy, and demand response are all needed. Simply adding more gas or coal to the grid won’t prevent blackouts from happening again in the future.

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January layoffs highest since Great Recession: analyst



Layoffs hit their highest total last month since the Great Recession nearly two decades ago, according to a new analysis, and employers don't look to be adding jobs soon.

U.S. employers announced 108,435 layoffs for January, up 118 percent from the same period a year ago and 205 percent from December, according to outplacement firm Challenger, Gray & Christmas, and CNBC reported those were the highest totals for January since the depths of the global financial crisis in 2009.

“Generally, we see a high number of job cuts in the first quarter, but this is a high total for January,” said Andy Challenger, chief revenue officer for the firm. “It means most of these plans were set at the end of 2025, signaling employers are less-than-optimistic about the outlook for 2026.”

Companies announced only 5,306 new hires, also the lowest January since 2009, and the Challenger data calls into question a narrative that has formed around a no-hire, no-fire labor market.

"Some high-profile layoff announcements have boosted fears of wider damage in the labor market," CNBC reported. "Amazon, UPS and Dow Inc. recently have announced sizable job cuts. Indeed, transportation had the highest level from a sector standpoint in January, due largely to plans from UPS to cut more than 30,000 workers. Technology was second on the back of Amazon’s announcement to shed 16,000 mostly corporate level jobs."

Planned hiring dropped 13 percent since January 2025 and fell off 49 percent since December, and initial jobless claims spiked since early December to a seasonally adjusted total of 231,000 for the last week of January.

"Sobering data from Challenger on the US labor market," said Wharton School professor Mohamed A. El-Erian. "Announced job cuts in January more than doubled year-over-year, hitting their highest level since the 2009 Great Recession. Most notably, these layoffs are occurring while GDP continues to grow at approximately 4 percent, accelerating the decoupling of employment from economic growth — a phenomenon that, if it persists, has profound economic, political, and social implications."