How the System Works

Delivering electricity to America's consumers is a complex task. Behind it lies a series of highly technical functions such as the generation of power, its transmission, and its final distribution to the consumer.

Step 1: Generation

Unlike gas or oil, electricity cannot be stored easily and must be generated the moment it is needed. Demand for electricity fluctuates depending on the time of day, weather conditions, and other factors. Different kinds of power plants are used to generate power depending on the level of demand.

• Nuclear, hydro, coal-based, and combined-cycle natural gas plants typically work around the clock to provide a steady supply of power.
• Pumped storage hydro, gas- or oil-based, and renewable (wind and solar) plants provide supplemental electricity during periods of high demand. These generators can be started and stopped quickly, but in many areas these fuels are too expensive or intermittent to be relied on for a constant supply of power.

Fuel Diversity - Learn more about how the different fuels used to generate electricity are key to affordable and reliable electricity.

Step 2: Transmission and Distribution

© 2008 Edison Electric Institute