Boston Power Prices Jump as Chill Boosts Demand Above Forecast

Spot wholesale electricity in Boston doubled as cold weather pushed consumption above forecasts.

Power use on the ISO New England Inc. network averaged 16,579 megawatts during the hour ended at 10:20 a.m., compared with the day-ahead prediction of 16,540 megawatts, according to the grid’s website.

The high temperature today in Boston may reach 35 degrees Fahrenheit (2 Celsius), 4 below normal, according to AccuWeather Inc. in State College, Pennsylvania.

Spot prices in Boston rose $44.25 to average $86.66 a megawatt-hour for the hour ended at 10 a.m. from the same time yesterday, grid data compiled by Bloomberg show. New York City prices declined 55 percent to average $44.26 a megawatt-hour.

New York on-peak power traded $30.45 below Boston, compared with a $5.42 premium yesterday and a three-month average discount of $12.57.

Spot prices at PJM Interconnection LLC’s benchmark Western hub, which includes Washington, jumped 78 percent to average $55.18 a megawatt-hour, grid data show. Prices at the Eastern hub, which includes New Jersey, advanced 9.8 percent to $34.58. PJM is the largest U.S. power network.

PJM West on-peak power traded $7.25 above the Eastern hub, compared with a 72-cent premium yesterday and a three-month average discount of $3.02.

To contact the reporter on this story: Harry R. Weber in Houston at hweber14@bloomberg.net

To contact the editor responsible for this story: Dan Stets at dstets@bloomberg.net

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