Resources & Stats

Publications

Energy Markets Report - May 27 - May 31, 2013

Summary of Market Developments

Electricity peak prices experienced notable price increases last week across several of the hubs, with NEPOOL and PJM West rising $22 and $16 to average $69/MWh and $77/MWh, respectively. Average prices at Palo Verde and Southern California (SP 15) also increased, but less dramatically: $1 at Palo Verde and $5 at SP 15 to average $40/MWh and $54/MWh, respectively. “Next-day power prices were mixed at major market centers around the U.S. on Thursday, May 30, as heat in many areas, including the East, Midwest and West, and robust electricity loads ran counter to choppy natural gas markets. … With temperatures at or above 90 degrees in many areas of the Northeast, demand is aimed in mixed directions but still elevated levels heading into the weekend when industrial and commercial load usually wane. … In Texas, next-day power markets gained several dollars Thursday, amid an expected bump higher in demand Friday sparked by the weather. … As a result of the expected ongoing increase in demand, on-peak power at the major ERCOT hubs responded in kind. Deals ran in the upper $30s to low $40s, up $3 on average on the session. The light-load market in Texas was pegged in the mid-$20s. Along the forward curve, July power to be delivered at ERCOT North was quoted near $89.50 to $90.” (SNL Energy’s Power Daily – May 31, 2013)
Natural gas spot prices at the Henry hub rose six cents last week to average $4.13/MMBtu. The rig count held steady at 354. “Looking to milder temperatures after the weekend and with the two weekend days to further erode demand outlooks, prices for deals done at the hubs in the Gulf-producing region deflated [Friday, May 31]. At the benchmark Henry Hub, the three-day product slipped about 10 cents in deals inked through the $3.90s to $4.00s. … Mild temperatures leading into the summer cooling season are expected to limit demand for cooling and keep natural gas inventories building, weighing natural gas values lower on the lack of concern over supply, even as inventories are set to begin the season at a deficit to the year-ago level.” (SNL Energy’s Daily Gas Report – June 3, 2013)
Average U.S. nuclear plant availability rose two percent last week, to 84 percent. Callaway and Susquehanna 2 returned to service after completing refueling and maintenance outages. Brunswick 1 and Pilgrim 1 returned to service after brief maintenance outages. Beaver Valley 2 closed for maintenance on its main generator and reactor coolant pump. North Anna 2 closed for two days “due to decreasing steam generator levels as a result of a main feedwater system transient.” St. Lucie 2 closed for two days for condenser maintenance, and Vogtle 2 closed for “planned replacement of reactor coolant pump seals.” (Platts)

Resources & Stats:

Resources & Stats

Download this File

E-mail link to a friend