Because of the energy market’s volatility throughout the winter months, it’s important to understand what factors influence these large market swings.
In 2018 ISO New England announced plans for two new ancillary charges, Mystic Cost of Service & ISO-NE Winter Reliability.
The image above may be the first thing that comes to mind when your hear natural gas but the process of finding, extracting and producing natural gas is much more complex than just turning on your stove. Natural gas is primarily made up of methane, a compound with one carbon atom and four hydrogen atoms.
In general, the two main drivers of wholesale electricity prices in New England are the cost of fuel used to produce electricity and consumer demand. Power Plant Fuel: Natural gas dominates electricity generation in New England, accounting for 52% of total power production in 2022. This reliance on natural gas makes wholesale electricity prices closely
Hurricanes and tropical storms can have significant effects on the energy market due to their potential to disrupt both the supply and demand sides of natural gas and electricity.
In New England, there are two main drivers of wholesale electricity prices – cost of fuel and demand. Cost of Fuel Natural gas is the principal fuel source used to produce electricity. Natural Gas has made up 52% of the electricity used in New England this past year. As a result, average wholesale electricity prices
A basic question but to successfully navigate the energy market can be a complex answer. Simply put, energy procurement is the process of sourcing and acquiring electric and natural gas for your businesses. A number of factors determine your price – natural gas, weather, capacity, transmission costs, and the list goes on. It is important
We talk about the weather’s effect on the energy market a lot here at BPE. Here are a few ways weather can influence energy prices: Heating and Cooling Demand Weather conditions directly affect the demand for heating and cooling in residential and commercial buildings. When we see extremely cold or warm temperatures, the demand for
As we head into the last weekend of February, New England is shaking off Winter Storm Olive which brought snow, rain, and strong winds to the region. Overall, February’s mild temperatures in the Northeast and Midwest has kept natural gas storage withdrawals to a minimum. Yesterday saw a 71 Bcf withdrawal according to the U.S.
Last week, we saw the price of Natural Gas fall to an 18 month low as mild weather in the Midwest and Northeast gave way to lower heating demand and an 11 bcf storage injection. This mild weather pattern is not expected to last much longer as winter is preparing a comeback. NOAA’s long
