Article

New England power prices dropped 14% in May

The price of wholesale electricity in New England fell 14 percent in May, continuing the two-month downward slide from the record high prices from the first quarter, according to regional grid administrator ISO New England.

The price of wholesale electricity in New England fell 14 percent in May, continuing the two-month downward slide from the record high prices from the first quarter, according to regional grid administrator ISO New England.

The average price of real-time power was $35.46 per megawatt hour in May, down from the $41.20 in April. May's pricing also reflect an 8 percent year-over-year decrease from May 2013.

The drop comes after January, February, and March all set record highs for electricity pricing, largely due to constraints in the natural gas pipeline preventing the more efficient power plants from getting their necessary fuel.

As the natural gas supply constraints eased, electricity prices fell 70 percent in April and then continued with the slide in May.

The average price of electricity is driven by a number of factors, chief among them being the price of the commodity fuel and demand for power in the region. Power demand typically kicks up in the summer as temperatures increase, which can lead to higher prices.

The price of wholesale electricity in New England fell 14 percent in May, continuing the two-month downward slide from the record high prices from the first quarter, according to regional grid administrator ISO New England.

The average price of real-time power was $35.46 per megawatt hour in May, down from the $41.20 in April. May's pricing also reflect an 8 percent year-over-year decrease from May 2013.

The drop comes after January, February, and March all set record highs for electricity pricing, largely due to constraints in the natural gas pipeline preventing the more efficient power plants from getting their necessary fuel.

As the natural gas supply constraints eased, electricity prices fell 70 percent in April and then continued with the slide in May.

The average price of electricity is driven by a number of factors, chief among them being the price of the commodity fuel and demand for power in the region. Power demand typically kicks up in the summer as temperatures increase, which can lead to higher prices.


Source: http://www.hartfordbusiness...

JUL 1 2014
http://www.windaction.org/posts/40746-new-england-power-prices-dropped-14-in-may
back to top