> Why do people think that residential power is the issue here?

My experience has been that the vast majority of people, even very technical people, don't really understand the energy mix required to sustain modern industrial technology. Their only experience is with their utility bill which shows them a pie-chart with a big area showing "green" so they can feel better about the state of things.

Electricity production accounts for the minority of energy usage, and residential a minority of the usage of electricity. People don't think about the energy required to send an Amazon package to their door or have fruits from South America stocking their grocery store year round, or even to create the industries that ultimately make up their paychecks each month.

The pandemic was the best view of what real energy usage changes would look like. Early pandemic was a rare moment when global energy usage dipped and that had nothing to do with the demand on the residential grid.