Representative Frank Pallone (D-NJ) proposes CLEAN Future Act with 100% clean energy goal and national RPS. The East will see colder weather by month’s end, headroom is available in MD, and natural gas storage surpasses 5-year average.
The February 2020 NYMEX Henry Hub forward contract increased to $2.141/MMBtu, a $0.02 (0.9%) increase from the previous Wednesday. The price of the 12-month strip averaging February 2020 through January 2021 futures contracts increased $0.03 (1.3%) to $2.319/MMBtu.
For the week ending January 3, the EIA reported net withdrawals from storage of 44 Bcf, which is lower than last year’s net withdrawals of 81 Bcf for this week and lower than the 5-year (2014–18) average net withdrawals of 156 Bcf.
Working natural gas in storage totaled 3,148 Bcf, which is 521 Bcf (19.8%) higher than last year’s working gas totals of 2,627 Bcf at the same time and 74 Bcf (2.4%) higher than the 5-year (2014-2018) average of 3,074 Bcf. Total working gas is within the five-year historical range.
The ISO-NE Mass Hub On-Peak 12 month forward electricity strip is up 0.9% week over week, but is down 4.6% in the last month.
For those looking to hedge their ISO-NE Mass Hub On-Peak load, we see value in hedging the March 2020 through November 2021 periods. Contact TrueLight to stay on top of value in current forward curve pricing and learn more about our portfolio management execution expertise.
Our models indicate there is headroom starting February 1, 2020 for 3, 12, 24 and 36 month contracts for Pepco Maryland residential (RMNS) customers.
Although the number of residential customers shopping for competitive electric supply in Pennsylvania decreased in December 2019, five utilities saw net gains in competitive supply customers. Met-Ed, Penelec, Penn Power, PPL and West Penn Power all experienced increases in residential shopping customers from November to December 2019. Despite the statewide decrease, most of these utilities saw the first gains in residential shopping customers in a long time, with PPL's competitive supply customer base increasing for the first time since November 2017. Let TrueLight help you stay on top of current rates and subscribe to our PTC tracking and headroom reporting or use our price verification service to ensure you stay on top of all utility rate changes.
The Chairman of the House of Representatives’ Energy and Commerce Committee, Frank Pallone of New Jersey, announced an outline for the Climate Leadership and Environmental Action for our Nation’s (CLEAN) Future Act last Wednesday. The primary goal of the legislation is to get the U.S. to net-zero greenhouse gas emissions for all sectors by 2050. The proposed framework also includes a national renewable portfolio standard for retail electricity suppliers, mandating 100% of their electricity to come from clean sources by 2050 and an increasing requirement of clean energy supply beginning in 2022. The draft bill will be released by the end of this month. Contact us for advice on renewable generation project development.
PJM decided it will hold off on conducting its 2022/2023 Base Residual Auction (BRA) until it establishes price floors for capacity resource classes during a Market Implementation Committee meeting held last week. PJM’s compliance filing to FERC due on March 18th will include these proposed price floors, as well as a timeline for the 2022/2023 and 2023/2024 delivery year capacity auctions. PJM needs to make its compliance filing to FERC by March 18th, and once the price floors and the rest of the proposal are approved it will take steps to conduct the 2022/2023 BRA. Members disagreed over when the auction should be held after the proposal is approved, with Exelon proposing the auction be held a year after the compliance filing to allow for Fixed Resource Requirement (FRR) alternative elections and Vistra urging PJM to hold the auction soon to eliminate capacity price uncertainty. Contact TrueLight Support for analysis of the most up-to-date energy market news or use our price verification service to ensure the most recent market shifts are reflected in your price quotes.
Below average temps are expected for almost the entire continental U.S. in the 8-14 day window starting January 1st, with warmer than average temperatures forecast in California being an exception. Drier than average conditions are forecast for most areas of the country, except Texas and the Plains region which will see higher than average precipitation.