Electricity prices to jump

[HeyBub]

There was an auction for future electricity.

"The market-clearing price for new 2015 capacity ? almost all natural gas ? was $136 per megawatt. That?s eight times higher than the price for 2012, which was just $16 per megawatt. In the mid-Atlantic area covering New Jersey, Delaware, Pennsylvania, and DC the new price is $167 per megawatt. For the northern Ohio territory served by FirstEnergy, the price is a shocking $357 per megawatt.

"These are not computer models or projections or estimates. These are the actual prices that electric distributors have agreed to pay for new capacity. The costs will be passed on to consumers at the retail level."

Read more:

The articles attributes the price rise to the closing of coal-fired power plants which, in turn, were mainly retired because of new EPA regulations.

[Hell Toupee]

And a good thing, too. The mercury levels in our lakes in Minnesota have risen to the point where just about every type of fish in nearly every lake and stream has consumption advisories. You can fish, but it's not safe to regularly eat much of it anymore, thanks to all the mercury the coal-fired plants have been dumping into the atmosphere to end up in the lakes. We'd prefer to catch our fish and get to eat them, too, y'know. And with the price of natural gas at rock-bottom prices and expected to remain there for decades to come, NOW is the time to retire the dirty coal burning plants and replace them with natural gas. Our antiquated electrical grid sorely needs upgrading anyhow.

Per Andy Ott, marketing VP for PJM, the company that held the auction:

Ott noted that the 2015 capacity prices' overall effect on retail consumers' electricity rates is expected to be moderated by other factors. "Capacity is a fairly small component of the retail price of electricity, and the cost of capacity at the retail level tends to be averaged out over several years," Ott explained. "In addition, if natural gas prices remain low, that would tend to restrain retail electricity prices."

In other words, Fox once again plays on the fears of its sucker audience. I swear, you guys are just like little kids huddling around the campfire listening to scary stories. You _like_ to get yourselves scared to death, and Fox obliges you. It's a terrific business model: find the suckers and play to them.

[Home Guy]

Ontario has lots of spare capacity, thanks to an orgy of wind-turbine building and solar panel farms that happened before the recession hit in

2008.

Owners of these new plants have signed garanteed lucrative price AND purchase agreements with the provincal power authority, meaning that there have been times over the past couple of years where the province HAD to allow these plants to put their power into the provincial grid WHILE AT THE SAME TIME the provincial power authority had to pay other networks to TAKE THE EXCESS POWER -> which meant that the spot price for electricity in this market actually went NEGATIVE.

Because of a lot of manufacturing plant closures in Ontario, we have excess capacity and Ohio and other neighboring states would be fools to be signing contracts with new producers when they can purchase Ontario electricity at cut-rate prices. Quebec has a shit-load of hydro-electric capacity as well that feeds into the eastern US grid.

Ontario has closed several coal-fired plants, and the remaining plants are scheduled to go down in a year or so.

The coal lobby in the US is HUGE, and they won't go down without a fight. You're seeing PR commercials on TV from the "clean coal" mouthpiece for the coal industry.

[Vic Smith]

Uh, no. NBC nightly news alone has 7 times the viewers of O'Reilly. Then ABC and CBS news also put him in the dust. Besides, Fox has no news channel on cable It has a politics channel. No different than MSNBC, except more old white fools watching it. O'Reilly reruns probably do well because the old folks forgot they already saw it. Let me know when O'Reilly or any of the other political talking heads gets close to SpongeBob or Ax Men. Then I'll know we're in trouble.

[Duesenberg]

If ESPN Sportscenter is considered news it'd might win. They claim 20 million viewers on Sunday.

[HeyBub]

You're right. I should have said: "... than the next five CABLE news channels combined."

I regret my error and thank you for bringing it to my attention.

[Vic Smith]

No problem. I knew what you meant. This is usenet, so I feel required to play asshole now and then. Just doing my civic duty.

[HeyBub]

Perhaps you should include in your calculation the consequences. In the instant case, immediately when you pointed out my error, I scampered to a dark corner of my library, sat on a low stool, and felt shame. For five hours.

I don't like to make mistakes.

I'm still searching for a suitable act of contrition. Right now, the contribution of a three-piece dinner from KFC to the Salvation Army is at the top of the list.

[Bucky]

was $136 per megawatt. That?s eight times higher than

covering New Jersey, Delaware, Pennsylvania, and DC

FirstEnergy, the price is a shocking $357 per

ROFLMAO!

I suspect even our resident idiot, with his closet full of stockpiled 100 watt incandescent bulbs, will switch to CFL or LED.

[Jim Yanik]

"Bucky" wrote in news:4fbf73b3$0$15658$c3e8da3$ [e-mail]:

except that lighting is not the biggest part of people electric usage,it's a relatively small part.

[Malcom "Mal" Reynolds]

evolution in action

[Malcom "Mal" Reynolds]

How is conservation not an alternative source? Reducing demand (negawatts) frees up power (megawatts) and does it cheaper

California has 50% more people than Texas and uses 33% less total energy. If more states did that, why would we need to produce more power

[krw]

A miniscule part.

[trader4]

Because you can only conserve so much and with most things as you get more desperate to squeeze efficiency out of it, the cost and complexity increase greatly. For example, you think we can just keep going from 10 SEER to 16 SEER to infinite SEER AC? Look at the cost of a 14 or 15 SEER system and compare it to the cost of an 18 SEER.

You think just maybe that could be because unlike CA, Texas hasn't driven out much of it's industry? Intel for example, founded in CA stopped building any manufacturing facilities there decades ago.

[NotMe]

Because you can only conserve so much and with most things as you get more desperate to squeeze efficiency out of it, the cost and complexity increase greatly. For example, you think we can just keep going from 10 SEER to 16 SEER to infinite SEER AC? Look at the cost of a 14 or 15 SEER system and compare it to the cost of an 18 SEER.

You think just maybe that could be because unlike CA, Texas hasn't driven out much of it's industry? Intel for example, founded in CA stopped building any manufacturing facilities there decades ago.

{{

Much of Texas industry has moved to Mexico. It's just over the back fence after all.

Company I used to consult for does 99% of their work in Mexico hauls the sub assemblies to Texas and inserts part A into part B and tighten a nut ... then labels the product ASSEMBLED IN USA.

[HeyBub]

Um... I think tee-pees were covered with animal hides.

Now since killing animals is against nature, unless you find a LOT of freshly dead animals, you'll HAVE to live in caves -- or get wet when it rains.

[HeyBub]

Giggle.

California also has twice the unemployment rate as Texas, ranks dead last in number of private sector jobs created (Texas is first), and has an unbelievable budget deficit while Texas has a surplus. Is ranked 40th in new residents (would be at the bottom if not for illegal immigrants) while Texas is at the top.

What power California DOES use costs significantly more than the equivalent killowatts in Texas.

And so on.

[Malcom "Mal" Reynolds]

none of which is the cause of lower per capita use.

I like the argument that Texas has higher per capita usage because of the extreme environment. of course Nevada, Arizona, New Mexico and Utah have just as extreme or worse environment have ower per capita usage than Texas

Not where I live...approx 10cents/kwh

[Malcom "Mal" Reynolds]

true, but you can use much simpler technology like CFL's or LED's (yes, lighting is a small part of the energy load, unless you look at office buildings and commercial spaces) or you can have stricter building codes so that that 14 SEER is sufficient. You can also subsidize the replacement of inefficient appliances, white roofing programs and more weatherization programs for older houses. California has been doing that for over 40 years and it has worked.

This is 2008 data

California has about 3 times the national average for over 500 employees firms Texas has about 4.65 times the national average.

In the All Industries section California had 668068 firms. Those with over 500 employees accounted for .9% which is approximately 6012 large firms/industries

Texas had 369330 Firms. Those with over 500 employees accounted for 1.4% which is approximately 517 large firms/industries

so the answer is no

[Kay R Dubya]

So watt! The smart thing to do is take care of the low-hanging fruit first.