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When there is not much demand for electricity, such as during the night, the extra electricity is used to pump water back up to a storage reservoir. Then, later in the day, when electricity demand is high, the water from the storage water is also released as an extra, producing more electricity when it is needed.

A British example of when this might be needed is when Downtown Abbey finishes and 2/3 of the viewers then go to make tea. Because Downtown Abbey has such a large audience, it is thought that a somewhat 5 million people then go to make a cup of tea [or coffee or Hot Chocolate or whatever] after the show has finished, thus creating a power surge. This would be an adequate excuse to use the pumped storage method of gaining energy quickly.

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