The same is true about climate control. 1 or 2C from the desired temperature is still pretty comfortable but can make a huge difference in power savings, particularly if it's coordinated.
That said, I suspect that the even better route for power companies to go down is installing more grid batteries. Those can directly address and smooth out high demand. Put them at the various substations and you can shut off the main grid to the substation temporarily under high load.
Nearly 20 years ago I had such a wonderful debugging experience when the power grid where I lived sent a "switch to backup" message and then milliseconds later a cancellation. The colo's power system got jammed between generator and mains electricity and everything rapidly ran out of UPS backup power and died. I found so many dependency loops between servers that day, took me hours to get things back up and running.
And with more and more houses installing solar and battery, opting into shoring up the grid for a decent uplift in standard export rates would be of interest to many.
I have been expanding solar thermal because it’s free of both of these constraints.
https://www.iberkshires.com/story/83932/Williamstown-s-Gas-S...
H