The shale boom in the Permian where companies are intensively drilling while keeping costs low has led to an unprecedented electricity demand in West Texas, straining the grid as local utilities try to keep up with demand. In the 2.0 shale boom in the Permian, companies are replacing the expensive diesel-powered and natural gas-powered generators for powering compressors with a cheaper option— hooking up to the grid, the Houston Chronicle reports. This shift among oil companies to use more electricity from the grid is catapulting electricity demand to unprecedented highs, straining the grid and threatening its reliability because of a potential overload. Three utilities—Oncor, Texas-New Mexico Power, and AEP Texas—serve most of the areas close to the Permian. Power demand in and around the hottest U.S. shale play is expected to rise to 1,000 megawatts by 2022, up from just 22 megawatts in 2010, according to Houston Chronicle. “To […]