New York Wholesale Electricity Surges on Canadian Imports HaltNaureen S. Malik
Spot wholesale power across the New York state grid surged after imports from Canada were interrupted and hotter weather spurred demand.
Manhattan prices jumped to $1,534.80 a megawatt-hour, the highest intraday price since May 29, after the New York Independent System Operator Inc., the state grid operator, reported an unplanned outage of the 765-kilovolt Chateauguay-Massena transmission line at 11:50 a.m. Imports of hydropower from Quebec were halted for about an hour. Power prices gained from the East Coast to the Midwest as demand topped forecasts.
Spot New York City on-peak power climbed fivefold to average $161.20 a megawatt-hour from 7 a.m. until 3 p.m. from the June 14 full-day average of $32.06, grid data compiled by Bloomberg show. On-peak hours run from 7 a.m. until 11 p.m. Monday through Friday.
Imports of electricity from Canada jumped to 1,400 megawatts at 3:16 p.m., according to NYISO’s website. The flow of power from Quebec had dropped to zero from 1,314 megawatts just before noon today.
Electricity consumption topped forecasts across three East Coast grids and in the Midwest. Temperatures in the regions will be above normal through tomorrow, according to WSI Corp. in Andover, Massachusetts. Prices slumped on June 14 after mild weather and heavy rain reduced the need for power to run air conditioners.
Spot on-peak power for Boston gained $54.86 to $84.66 a megawatt-hour at 3 p.m. from the June 14 full-day average of $29.81, data from ISO New England Inc. show.
Electricity at PJM Interconnection LLC’s Western Hub, which includes prices from Washington to Erie, Pennsylvania, increased 89 percent to $61.64 a megawatt-hour.
The high temperature in New York City today may be 85 degrees Fahrenheit (29 Celsius), 5 above normal, and Baltimore may be 3 degrees higher than the usual reading at 89, according to AccuWeather Inc. in State College, Pennsylvania. Indianapolis’s high may be 2 above normal at 85 degrees.
New York City power demand was 8,758 megawatts at 3:05 p.m., 4.1 percent higher than the day-ahead outlook. Consumption on PJM’s 13-state grid, stretching from New Jersey into North Carolina and Illinois, was 125,669 megawatts at 3:10 p.m., 7.6 percent higher than the forecast.
Electricity use in the Midwest was 7.4 percent above the day-ahead forecast at 74,294 megawatts at 2:15 p.m. local time, data from the Midwest Independent System Operator Inc. showed.
Spot power at MISO’s benchmark Indiana hub gained $16.57, or 47 percent, to $51.46 a megawatt-hour from the June 14 full-day average.
Prices were lower in Texas as demand on the main grid dropped below the day-ahead outlook. Houston on-peak power fell $2.81, or 8.3 percent, to average $30.84 a megawatt-hour as of 2 p.m. local time.