|
|
Enron Mail |
Here is today's copy of Bloomberg Power Lines. Adobe Acrobat Reader is
required to view the attached pdf file. You can download a free version of Acrobat Reader at http://www.adobe.com/products/acrobat/readstep.html If you have trouble downloading the attached file it is also located at http://www.bloomberg.com/energy/daily.pdf Don't forget to check out the Bloomberg PowerMatch West Coast indices, the most accurate indices anywhere. Index values are calculated from actual tra= des and can be audited by all PowerMatch customers. Our aim is to bring you the most timely electricity market coverage in the industry and we welcome your feedback on how we can improve the product fur= ther. Bloomberg Energy Department 05/29 Bloomberg Daily Power Report Table Bloomberg U.S. Regional Electricity Prices ($/MWh for 25-50 MWh pre-scheduled packages, excluding transmission c= osts) On-Peak West Coast Index Change Low High Mid-Columbia 104.44 +104.44 95.00 110.00 Ca-Or Border 115.00 +115.00 110.00 115.00 NP15 121.85 +121.85 120.00 190.00 SP15 116.00 +116.00 109.00 130.00 Ault Colorado 100.00 +100.00 109.00 130.00 Mead 134.50 +134.50 130.00 139.00 Palo Verde 127.21 +127.21 110.00 180.00 Four Corners 120.00 +120.00 110.00 130.00 Mid-Continent ECAR 20.50 +20.50 18.68 23.36 East 24.50 +24.50 24.00 25.00 AEP 20.30 +20.30 17.50 24.00 West 19.00 +19.00 16.00 22.00 Central 18.80 +18.80 16.50 24.00 Cinergy 18.80 +18.80 16.50 24.00 South 19.13 +19.13 18.25 20.50 North 23.00 +23.00 22.00 24.00 Main 19.77 +19.77 17.25 21.50 Com-Ed 19.00 +19.00 16.50 20.00 Lower 20.55 +20.55 18.00 23.00 MAPP 23.67 +23.67 22.00 27.00 North 23.29 +23.29 22.00 27.00 Lower 24.05 +24.05 22.00 27.00 Gulf Coast SPP 33.86 +33.86 31.00 36.13 Northern 30.71 +30.71 26.00 34.25 ERCOT 38.08 +38.08 36.00 39.50 SERC 28.38 +28.38 26.85 29.93 Va Power 27.00 +27.00 24.00 30.00 VACAR 25.83 +25.83 24.00 27.00 Into TVA 19.13 +19.13 18.25 20.50 Out of TVA 22.12 +22.12 21.21 23.53 Entergy 35.08 +35.08 34.50 35.50 Southern 31.50 +31.50 28.00 35.00 Fla/Ga Border 38.00 +38.00 38.00 38.00 FRCC 41.00 +41.00 40.00 42.00 East Coast NEPOOL 38.25 +38.25 38.00 38.50 New York Zone J 51.38 +51.38 50.75 52.00 New York Zone G 47.50 +47.50 46.50 48.00 New York Zone A 36.75 +36.75 36.00 37.50 PJM 27.95 +27.95 26.25 30.00 East 27.95 +27.95 26.25 30.00 West 27.95 +27.95 26.25 30.00 Seller's Choice 27.45 +27.45 25.75 29.50 End Table Western Power Prices Drop Despite Higher Demand Forecast Los Angeles, May 29 (Bloomberg Energy) -- U.S. Western peak power prices for Wednesday delivery continued lower today, despite a forecast by the California Independent System Operator calling for higher electricity demand tomorrow, traders said. According to the Cal-ISO, demand in the state is projected to increase by 16.4 percent tomorrow to 35,119 megawatts, up from today's 30,166-megawatt estimate. Traders said with the potential for strong price spikes in tomorrow's next-day markets, it was less risky to sell power on a real-time basis today. "We were surprised how depressed the next-day prices were because the forecast is calling for warm weather pretty much everywhere," said one western next-day power trader. "With the next-day markets in the tank, many sellers were taking their energy into the real-time markets." The most severe price declines were seen in the Pacific Northwest and Rockies next-day markets, where from the Ault, Colorado, pricing point declined an average of $65 from Friday's close to $100 a megawatt-hour. "We're moving all of our excess energy to other pricing points such as Mid Columbia, Palo Verde and Four Corners, because right now, there's very little next day demand in our region," one Rockies trader said. According to Lexington, Massachusetts-based Weather Services Corp., projected daily high temperatures in Los Angeles area will drop by one degree Fahrenheit tomorrow to 73 degrees. In Southern California, though, hotter weather is expected, with Long Beach expected to top out at 84 degrees tomorrow, up from today's 78- degree forecast high. Pacific Northwest power pricing at the Mid-Columbia pricing point declined an average of $46.38 from Friday to a Bloomberg index of $104.44. Light load power pricing fell $35.86 to an average $42.00, though trading was thin. Traders said that yesterday's $3-$10 real-time pricing in the West may have carried over into today's next-day market. "The next-day market in the Northwest may have been irrationally priced to the real-time numbers today," said one Northwest power trader. "It's possible for that to happen." Other Northwest traders said that the recent refill at the Grand Coulee Dam could be seen as a sign that excess power generation could soon be available once the reservoir is filled in preparation for winter. At last report, the Grand Coulee was at 1,269 feet of water, or about 98.4 percent of its 1,290 feet maximum water storage level. On this date in 2000, Grand Coulee was at about 1,244.8 feet of water, or about 96.5 percent of capacity. In the Southwest, power pricing declined despite expectations for hot weather all week. Forecasts for the Phoenix vicinity call for daily high temperatures to average in the low- to-mid 100s this week. The Bloomberg Palo Verde next-day index price declined an average of $38.59 to $127.21 amid trades in the $110.00-$180.00 range. Light load Palo Verde power, which began trade at the $35- $45 level, declined to an average of $23.92, as prices slumped to $15.00-$18.00 toward the end of daily options expiration. "Prices started dropping and then we just didn't do anything," said one southwest daily utility power trader. "It's the end of the month and nobody wants to get caught long at this point." -Brian Whary Northeast Spot Power Prices Dip With Low Weather-Related Demand Philadelphia, May 29 (Bloomberg Energy) -- Spot power prices dropped throughout the Northeast U.S. this morning amid low weather-related demand and increased generating capacity, traders said. According to Weather Derivatives Corp. of Belton, Missouri, temperatures in the Northeast will average 5 degrees Fahrenheit below normal over the next seven days, keeping energy usage for cooling near to below normal during that period. In the Pennsylvania-New Jersey-Maryland Interconnection, next-day power was assessed $3.30 lower at a Bloomberg volume-weighted index of $27.95 per megawatt- hour, the lowest daily index price since Sept. 28, 2000. "There's just no support right now in the cash market," said one PJM-based trader. "You've got risk and warmer weather helping to prop up the next-week market, but the dailies are a different story. Who wants to take length at these prices, when you can just go hourly on an as- needed basis?" Traders said lackluster pool rates, a function of increased generation, also pulled day-ahead prices lower. Interconnection data shows locational marginal prices for the four hours leading up to daily options expiration, or 10 a.m. local time, averaged only $22.37 per megawatt-hour, with a low and high of $14.00 and $24.84, respectively. Nuclear Regulatory Commission data shows the region's nuclear output at 98 percent of its 13,160-megawatt capacity, and according to the Interconnection, only 3,049 megawatts are off-line in total. Public Service Electric & Gas boosted output at its 1,150-megawatt Salem 1 nuclear reactor to 85 percent this morning. Company officials told Bloomberg they restarted the New Jersey-based unit Friday, following an unplanned unit trip. New England day-ahead values also fell with increased supply and decreased demand. The Bloomberg index price for peak power delivered Wednesday throughout NEPool was $39.75, down $6.45 from Friday. New York's Zone J was assessed $3.37 lower at an index price of $51.38, and Zones G and A were valued at $49.00 and $38.25, respectively. -Karyn Rispoli Below-Normal Temperatures Pull Mid-Continent Power Prices Down Cincinnati, May 29 (Bloomberg Energy) -- Peak day-ahead power prices dropped in the Mid-Continent U.S. as below-normal temperatures were forecast to continue through the week amid a surplus of generation, traders said. Belton, Missouri-based Weather Derivatives Inc. predicted high temperatures would average almost 6 degrees Fahrenheit below normal in the north-central U.S. over the next seven days. The Bloomberg index price for power delivered Wednesday into the Cincinnati-based Cinergy Corp. transmission system declined $4.60 to $18.80 a megawatt-hour, with trades ranging from $22.00 when the market opened down to $16.50 after options expired. With today's decline, Cinergy day-ahead power prices reached a new year-low for the fourth time in five days. "We're in for another ho-hum week," an East Central Area Reliability Council trader said. "There's no weather out there and maintenance is done, so the market's flooded with megawatts." However, ECAR traders said an expected return to normal temperatures next week boosted prices for power delivered then. Cinergy parcels for delivery from June 4-8 were offered at $60.50, up from $58.30 Friday. "Next week is up; in fact its really overvalued at this point," one trader said. "We're going to see warmer weather, but nothing crazy. I have a feeling that price is just going to get chipped away at day by day as that realization sets in." In the Mid-America Interconnected Network, next-day power prices also fell with mild weather, marketers said. Peak parcels into the Chicago-based Commonwealth Edison hub sold $4.21 less on average at $18.00-$20.00, and power in lower MAIN sold $3.85 less at $18.00-$23.00. MAIN traders said short-term forward prices were also overvalued at ComEd, with power for delivery from June 4-8 offered at $57.75 there although temperatures weren't expected to be more than 1 degree above normal for the period. Mid-Continent Area Power Pool peak Wednesday power prices fell an average of $2.04 in the northern half of the region to $22.00-$27.00 and $2.22 in southern areas to $24.00-$26.00. MAPP traders said prices there remained higher than in other areas with continued demand from the Southwest Power Pool, where day-ahead peak power sold 71 cents higher on average at $25.50- $34.25. -Ken Fahnestock Southeast Spot Power Prices Mixed on Weather Related Demand Atlanta, May 29 (Bloomberg Energy) - U.S. Southeast spot electricity prices for power delivered Wednesday were mixed today because of scattered pockets of weather-related demand, traders said. The Bloomberg Southeast regional average price declined $1.10 a megawatt-hour from Friday to $28.14 amid trades in the $18.25-$38.00 range. Belton, Missouri-based Weather Derivatives Inc., forecast temperatures in the Southeast would average about 1.9 degrees Fahrenheit below normal over the next seven days The Bloomberg index price for power on the New Orleans- based Entergy Corp. grid for delivery tomorrow fell 55 cents to $35.08, with sales between $34.50-$35.50. "There is no heat and demand is low, causing prices to decline,'' said one Southeast trader. One Tennessee Valley Authority trader said offers were put out early today in the low $20s, though later volumes moved at $18.25-$20.50 as demand was no there. The Bloomberg index for TVA declined $3.50 to $20.50. TVA traders said that prices were falling because generation from maintenance has returned to the grid and demand was not there because of mild weather. According to Lexington, Massachusetts-based Weather Services Corp., daily high temperatures in Bristol, Tennessee were expected to reach 75 degrees Fahrenheit today and 77 degrees tomorrow. In Texas, traders said day-ahead firm "UB'' in the Electric Reliability Council of Texas sold at a Bloomberg index of $39.50, gaining $2.00 from Friday. Trades were completed in the forward market for June at $50.00. Traders said that prices should remain steady to down this week, as demand for power will depend on the weather. -Robert Scalabrino U.K. Month-Ahead Power Prices Slip as Market Re-adjusts Levels London, May 29 (Bloomberg Energy) -- U.K. power prices fell slipped today amid increased selling as participants sold contracts deemed overvalued, traders said. July baseload traded at 17.75 pounds a megawatt-hour, 20 pence lower than Friday. August traded at 17.85 pounds a megawatt- hour, 10 pence lower than yesterday. "There's a lot of selling pressure. When we have day-ahead trading at 17.30 pounds, it seems only logical that July should be lower,'' one trader said. July baseload has fallen by around 1.55 pounds since the start of May as participants traded actively in an effort to find new price levels under the new trading arrangements, traders said. The rest of the market remained little changed as activity continued to be unusually quiet for the third consecutive day. Winter 2001 baseload remained unchanged from Friday following trades at 21.46 pounds a megawatt-hour. -Amal Halawi Nordic Power Falls on Wet Weather as Market Awaits New Signals Lysaker, Norway, May 29 (Bloomberg Energy) -- Electricity prices on the Nordic Power Exchange in Lysaker, Norway, closed lower in limited trade today after wetter weather forecasts boosted expectations of increased hydro production, traders said. With 168.00 megawatts traded, week 23 closed at 204.25 Norwegian kroner a megawatt-hour, down 1.25 kroner. Week 24 fell 1.75 kroner to 207.75 kroner a megawatt-hour. Although weather forecasts were "slightly'' wetter today, there were no "significant'' market signals to move the market further down or to boost trade volumes, a trader said. A total 1,052 gigawatt-hours generation were exchanged today down from 2,563 gigawatt-hours last Tuesday. Wednesday's system area average price was set in line with expectations at 211.72 kroner a megawatt-hour, 3.44 kroner higher than today's price. Strong winds in Denmark also contributed to falling prices. Danish wind generators can produce up to 2,000 megawatts, a trader said earlier today, adding it's difficult to anticipate output. Above-average precipitation was forecast across Scandinavia over the next 5 days by Weather Services Corp. in the U.S. Increased rainfall in Southern Norway was likely to contribute to water tank replenishment, an Oslo-based trader said. Winter-2, 2001 fell 1.5 kroner to 220.0 kroner a megawatt hour after 137.0 megawatts traded. "There's no reason for producers to sell power any cheaper than at winter prices,'' a trader said, adding generators would keep high prices until next winter, except during the Norwegian industrial holiday season in the last 3 weeks of July. -Alejandro Barbajosa -0- (BES) May/29/2001 19:26 GMT =04 - daily.pdf
|