Power Drops on Eastern U.S. Grids on Milder WeatherNaureen S. Malik
Spot wholesale electricity slumped from Boston to Los Angeles and Dallas as mild weather reduced demand.
Power consumption in New York City was down 16 percent in the hour ended at 4 p.m. from a day earlier while demand on the 13-state network operated by PJM Interconnection LLC, from the East Coast to the Ohio Valley, was down 4.9 percent, grid data compiled by Bloomberg showed. Consumers were using less power in Texas and California than grid managers predicted.
The high temperature in Midtown Manhattan today was forecast to reach 67 degrees Fahrenheit (19 Celsius), 1 above normal, while Washington was seen at 69 degrees, 2 lower than average, according to AccuWeather Inc. in State College, Pennsylvania.
Spot prices for New York City slid $78.17, or 67 percent, to $36.42 a megawatt-hour during the hour ended at 4 p.m. from the same time yesterday, grid data show. Prices, which have been hovering in the $30s today, surged yesterday after the unplanned shutdown of a transmission line cut imports from Pennsylvania.
On-peak power for New York traded at an average premium of $8.07 to Boston from a discount of $4.37 yesterday. Boston was down $4.26, or 14 percent, at $26.56.
Spot power at PJM’s benchmark Western hub, which includes deliveries to Washington, rose 44 cents, or 1.3 percent, to $33.41 a megawatt-hour after trading lower throughout the day. The hub flipped to a premium of 55 cents versus the Eastern hub, which includes prices in New Jersey, eastern Pennsylvania, Maryland and Virginia, from a discount of $1.12 yesterday.
The Electric Reliability Council of Texas Inc. cut its peak-demand forecast for today by 4.2 percent to 40,414 megawatts from its day-ahead outlook of 42,171 megawatts, according to its website.
Spot power at Ercot’s North hub, which includes deliveries to Dallas, dropped $6.88, or 22 percent, to average $24.34 a megawatt-hour during the hour ended at 3 p.m. local time from a day earlier.
Electricity consumption on the main California grid fell 4.3 percent to average 28,322 megawatts in the hour ended at 2 p.m. local time, below day-ahead forecasts, grid data show.
Northern California’s NP15 hub slid $13.03, or 27 percent, to $34.92 a megawatt-hour in 1 p.m. hour while the SP15 hub in the south, serving Los Angeles and San Diego, dropped $13.14, or 27 percent, to $36.29.
The spread between the hubs was little changed, with NP15 on-peak power trading at a discount of $1.84 versus yesterday’s average of $1.21.