Electricity Markets
Forward markets trended downward generally over the past 2 weeks. Texas markets briefly surpassed New England markets for only the third time since mid-2020. New England market continues a strong downward slide, mainly driven by a lack of major weather events. All forward markets consolidating to smallest margins since mid-2021
Cooler weather returned over the last 2 weeks, making spot pricing more volatile than has been recently observed. Spot markets across the Northeast have been spreading out more over the past month. PJM has been trending higher than New York and New England over the past week, likely driven by an increase in electric heating.
Natural Gas Markets
December 2023 settled at $2,70/dth, lower than the previous month settle. 2024 continues to remain flat from this winter going into next winter. Forward markets should remain strong into the near future with warmer weather on the horizon, coupled with strong natural gas storage
Futures as of 11/30/2023 versus previous week:
| Current | ||
| Jan-24 | $2.839 | -$0.210 |
| Feb-24 | $2.797 | -$0.207 |
| Mar-24 | $2.659 | -$0.190 |
| Apr-24 | $2.613 | -$0.150 |
| May-24 | $2.675 | -$0.138 |
| Jun-24 | $2.815 | -$0.125 |
Natural Gas Inventory
Working gas in storage was 3,836 BCF as of Friday, November 23rd, according to EIA estimates. This represents a net increase of 10 Bcf from the previous week.
The Baker Hughes exploration increased by 3 rigs, for a total of 117 this week.
Weather Update
Temperatures will be below average across the Mountain West, and above average across the Midwest and East Coast
Hurricane Watch: Click here to view the National Hurricane Center site.
News : Maryland coal plant retirements raise questions about PJM transmission planning- The planned retirements of Maryland’s three remaining coal-fired power plants are raising questions about the costs of the clean energy transition within the PJM Interconnection LLC’s 13-state mid-Atlantic footprint as well as the grid operator’s planning process.
If you would like to receive the Energy Market Update to your inbox weekly, please click here to submit your name and email address. Disclaimer: This information is provided for the use of our customers and potential customers. Power Management Company assumes no responsibility or liability for the accuracy or completeness of pricing or information in this document. Historical data was obtained from sources that we believe to be reliable, but we do not guarantee its accuracy or completeness. It is not intended to provide advice or recommendation. Views are subject to change.