Temperatures flirting with triple digits in Texas sent power prices surging amid rising demand for air conditioning.
Readings in Houston may reach 96 degrees Fahrenheit (36 Celsius), 5 above average, after topping 100 the past three days, according to AccuWeather Inc.
Spot wholesale prices on the Electric Reliability Council of Texas Inc.’s Houston hub more than doubled, gaining $379.44 to $591.01 a megawatt-hour in the hour ended at 3 p.m. local time from a day earlier, data compiled by Bloomberg show. The average price so far today is $149.86, heading toward the highest since April 2014.
Demand load in the region was at 66,925 megawatts, approaching the forecast load peak of 68,894 megawatts, the Texas grid operator said. One megawatt is enough to power 200 homes during periods of peak demand.
Panda Power Fund’s 700-megawatt Sherman plant, about 65 miles north of Dallas, is out of service after tripping offline on Aug. 3, Michael Poray, senior vice president of commercial operations for the company in Dallas, said in an interview late Tuesday.
On-peak power at PJM Interconnection LLC’s benchmark western hub, which serves Washington, fell 63 cents to $44.58 a megawatt-hour in the hour ended at 5 p.m. local time.
The temperature in the nation’s capital was forecast to peak at 84 degrees, 3 below normal.
Power in New York dropped $45.01 to $39.31 at 5 p.m.