Electric utility
Describe
Electric utilities include investor owned, publicly owned, cooperatives, and nationalized entities. They may be engaged in all or only some aspects of the industry. Electricity markets are also considered electric utilities--these entities buy and sell electricity, acting as brokers, but usually do not own or operate generation, transmission, or distribution facilities. Utilities are regulated by local and national authorities.
Redundancy and defining "grid"
This redundancy is limited. Existing national or regional grids simply provide the interconnection of facilities to utilize whatever redundancy is available. The exact stage of development at which the supply structure becomes a grid is arbitrary. Similarly, the term national grid is something of an anachronism in many parts of the world, as transmission cables now frequently cross national boundaries.
Interconnected Grid
Electric utilities across regions are many times interconnected for improved economy and reliability. Interconnections allow for economies of scale, allowing energy to be purchased from large, efficient sources. Utilities can draw power from generator reserves from a different region in order to ensure continuing, reliable power and diversify their loads. Interconnection also allows regions to have access to cheap bulk energy.
Electrical grid
An electrical grid is an interconnected network for delivering electricity from suppliers to consumers. It consists of generating stations that produce electrical power, high-voltage transmission lines that carry power from distant sources to demand centers, and distribution lines that connect individual customers.
Power Station
Power stations may be located near a fuel source, at a dam site, or to take advantage of renewable energy sources, and are often located away from heavily populated areas. They are usually quite large to take advantage of the economies of scale. The electric power which is generated is stepped up to a higher voltage at which it connects to the electric power transmission network.
Structure of distribution grids
The structure, or "topology" of a grid can vary depending on the constraints of budget, requirements for system reliability, and the load and generation characteristics. The physical layout is often forced by what land is available and its geology. Distribution networks are divided into two types, radial or network.
Geography of transmission networks
A wide area synchronous grid or "interconnection" is a group of distribution areas all operating with alternating current (AC) frequencies synchronized (so that peaks occur at the same time). This allows transmission of AC power throughout the area, connecting a large number of electricity generators and consumers and potentially enabling more efficient electricity markets and redundant generation.