Reading Your Electric Bill - How Ancillary Services and 60 Hz keeps the Texas Power Grid Stable

Depending on your energy plan, you might see line item charges for ECRS or Non-Spin Reserve Services. These ancillary charges could be minuscule or significant in comparison to other line items depending on several circumstances, but what do those charges actually mean? Are they worth bundling into a rate or better left as a line item charge?

Power Grid Stability - Why 60 Hz Matters

You always hear about utility companies' efforts to "stabilize the grid." But what are they actually trying to do to keep it stable? One of the constant efforts in maintaining a strong electric grid is to keep one critical number in check: 60 Hertz (Hz).

In ERCOT (the Electric Reliability Council of Texas), electricity flows through the grid at a standard frequency of 60 cycles per second — or 60 Hz. This frequency is like the rhythm or heartbeat of the grid. Every generator and every electrical device in Texas is calibrated to operate in sync with this number.

If the frequency goes above or below 60 Hz, even slightly, it can:

• Damage equipment

• Shut down power plants

• Cause blackouts

• Disrupt critical operations for businesses and hospitals

Maintaining this frequency is mission-critical, and that's where ancillary services come in.

Texas' electric grid relies on the transmission of power to be at a frequency of 60 Hz.

The Role of Ancillary Services in Frequency Control

ERCOT uses a suite of Ancillary Services to keep frequency right around 60 Hz — especially when the balance between electricity supply and demand starts to shift. Each service is designed for a specific type of grid response.

⚡ Regulation Up (Reg-Up)

Used when the grid frequency drops (demand is too high or supply suddenly drops). Reg-Up brings additional power online within seconds to stabilize the system.

⚡ Regulation Down (Reg-Down)

Used when frequency goes above 60 Hz (too much power on the grid). Reg-Down helps reduce output to maintain balance.

⚡ Responsive Reserve Service (RRS)

A fast-acting reserve that kicks in within 10 seconds of a major event — like a power plant tripping offline.

⚡ Non-Spin Reserve Service (Non-Spin)

This reserve comes from generators that are offline but can start up quickly — usually within 30 minutes — to meet demand or replace lost generation.

⚡ ERCOT Contingency Reserve Service (ECRS)

Think of this as the "middle-ground" reserve. It fills the gap between fast (RRS) and slow (Non-Spin) reserves and ensures continuous stability during unexpected shifts in supply and demand.

A Real-Time View of the Grid in Action

ERCOT actively monitors and publishes sparkline graphs and frequency charts showing the performance of these services in real time. This real-time coordination is what keeps our lights on and our businesses running smoothly — especially during extreme weather or high-demand periods.

Why It Matters to Your Business

Whether you're running a restaurant, managing a church facility, or operating a manufacturing shop, the reliability of your electricity matters. Ancillary services are an invisible layer of protection — but they come at a cost. Understanding how they affect electricity pricing can help you make smarter decisions when choosing or negotiating energy contracts.

Partner with a team of energy experts that puts your business first

At Fourth Day Energy, we don’t just shop for rates — we help you understand what’s behind them. From ancillary services to real-time market shifts, we use our market expertise to protect your bottom line and find electricity solutions that match your business needs.

Want a free energy bill audit or to learn how market conditions could affect your next contract? [Call 1-844-607-7177 or send us an e-mail at info@fourthdayenergy.com] — let’s find the right plan for your business.