Mid-Atlantic Power Advances as Demand Exceeds ForecastsHarry R. Weber
Spot wholesale electricity jumped along the U.S. East Coast as nuclear output fell and higher-than-normal temperatures pushed demand above expectations on the largest U.S. power grid.
Nuclear power generation in Region 1, from the Northeast to Washington, fell to 22,767 megawatts today, the lowest level for the time of year since 1999, according to U.S. Nuclear Regulatory Commission data compiled by Bloomberg. Reactors account for 19 percent of the country’s electricity generation, U.S. Energy Information Administration data show.
Power consumption on the 13-state PJM Interconnection LLC network, which stretches from Washington to Chicago, was 136,971 megawatts at 3:15 p.m. New York time, versus the day-ahead forecast of 130,867 megawatts, according to the grid’s website.
The high temperature today in Washington reached 96 degrees Fahrenheit (36 Celsius) as of 3 p.m., 8 above normal, according to AccuWeather Inc. in State College, Pennsylvania.
Spot power at PJM’s benchmark Western hub, which includes Washington, gained $12.75, or 20 percent, to average $77.97 a megawatt-hour for the hour ended at 3 p.m. from the same time yesterday, grid data compiled by Bloomberg show. Prices at the Eastern hub, which includes New Jersey, more than doubled, advancing $126.46 to average $198.99 a megawatt-hour.
PJM West on-peak power traded $41.40 below the Eastern hub, compared with a discount of $8.16 yesterday and a three-month average discount of $3.62 for PJM West.
New York City spot power more than doubled, rising $104.46 to average $181.58 a megawatt-hour at 3 p.m., while Boston prices increased $20.50, or 27 percent, to average $96.82.
New York on-peak power traded $5.41 above Boston, compared with a discount of $6.30 yesterday and a three-month average premium of $2.26 for New York.
At the Indiana hub, a regional benchmark for the Midwest, spot power gained $27.55, or 76 percent, to average $63.75 a megawatt-hour for the hour ended at 1 p.m. local time from the same time yesterday.