Northeast On-Peak Power Poised for Lowest Average in Nine DaysHarry R. Weber
On-peak power prices fell across the Northeast to the lowest in more than a week as demand slid.
Use on the ISO New England Inc. network was 16,070 megawatts at 4 p.m. New York time, versus the day-ahead forecast of 16,820 megawatts, according to the grid’s website.
The high temperature today in Boston was forecast to reach 48 degrees Fahrenheit (9 Celsius), 11 above yesterday, according to AccuWeather Inc. in State College, Pennsylvania.
On-peak power at the Boston hub was down $38.56, or 48 percent, to $41.66 a megawatt-hour at 4 p.m., heading toward the lowest full-day average since Nov. 11, grid data compiled by Bloomberg show. New York on-peak power fell $10.31, or 21 percent, to $39.24 a megawatt-hour, also poised for the lowest full-day average since Nov. 11.
Spot power in New York slid $20.81, or 49 percent, to average $21.97 a megawatt-hour for the hour ended at 4 p.m. from the same time yesterday, while Boston power declined $18.52, or 37 percent, to average $31.35.
New York on-peak power traded $2.42 below Boston, compared with a discount of $30.67 yesterday and a three-month average discount of $3.48.
Power at PJM Interconnection LLC’s benchmark Western hub, which includes Washington, dropped $2.78, or 7.9 percent, to average $32.30 a megawatt-hour at 4 p.m., while prices at the Eastern hub, which includes New Jersey, fell $1.49, or 2.7 percent, to average $53.38.
PJM West on-peak power traded $17.14 below the Eastern hub, compared with a discount of $28.08 yesterday and a three-month average discount of $6.99.
Natural gas for December delivery reversed earlier declines and rose 11.8 cents to settle at $4.489 per million British thermal units on the New York Mercantile Exchange, the highest close since June 25. About 27 percent of the power in the U.S. is generated using gas.