4 ms·

If they are not connected, what is driving up the cost?

by pkaye 6y ago

denkmoon 6y ago
Demand, Texas isn't the only location experiencing severe cold weather that it isn't prepared for.
- sumoboy 6y ago
  This will all repeat itself during the summer for excessive heat.
cperciva 6y ago
Texas isn't the only place with cold weather right now. Even if other grids haven't collapsed, they're surely under higher strain than normal.
- geerlingguy 6y ago
  Ameren (electric company serving parts of MO and IL) has requested customers cut back on power consumption if at all possible. When there's a sustained negative-degree-weather event for over a week, many people start plugging in extra space heaters or run their electric central heater longer, which places a huge amount of strain on the grid. Luckily there are many in the midwest who use gas for heating, since it's way more efficient in the long winter months. There are other factors too, like some plants not being maintained to a level where they can operate at full capacity in freezing weather for weeks at a time (many can, but some are not maintained to that standard—see TX), so those plants can't just pop online like they normally would during the summer.
  - hnburnsy 6y ago
    Southwest Gas asked their Arizona natural gas customers to cut back as the pipeline through Arizona feeds Texas.
    - rblatz 6y ago
      Did they? I have two properties serviced by them and didn’t get any notification.
      - hnburnsy 6y ago
        >Southwest Gas is asking customers to conserve resources as states contend with cold weather. According to the utility, shortages are not anticipated in Arizona, but conservation will help maintain the interstate pipeline system. https://www.kgun9.com/news/local-news/southwest-gas-asks-customers-to-conserve https://www.kgun9.com/news/local-news/southwest-gas-asks-cus...
- Scoundreller 6y ago
  Ontario Canada reporting. CAD$85/mwh (or ~US$65). We have several gw available on standby, and pretty much even on exports/imports. And we do export to USA as needed to/through Michigan/NY. Parents got ~10" of snow yesterday night. But it's just business as usual. https://www.ieso.ca/en/Power-Data https://www.ieso.ca/en/Power-Data
etimberg 6y ago
Could be a number of factors. Prices are generally composed of generation, loss, and congestion terms. The generation term is driven by the marginal cost of energy (i.e. what's the cheapest generator that still has capacity). The losses term is fairly self explanatory. The congestion term factors in the thermal ratings on equipment based on what can be delivered to a location. Someone else speculated that this is due to a rise in Natural Gas costs. This would make some sense given that the rise is uniform across the region. Disclaimer: I work in the energy space. I know nothing about what is happening here and these are personal opinions.
rovr138 6y ago
capacity and demand.

If they are not connected, what is driving up the cost?

by pkaye 6y ago

If they are not connected, what is driving up the cost?

denkmoon 6y ago

Demand, Texas isn't the only location experiencing severe cold weather that it isn't prepared for.

sumoboy 6y ago
This will all repeat itself during the summer for excessive heat.

cperciva 6y ago

Texas isn't the only place with cold weather right now. Even if other grids haven't collapsed, they're surely under higher strain than normal.

geerlingguy 6y ago
Ameren (electric company serving parts of MO and IL) has requested customers cut back on power consumption if at all possible. When there's a sustained negative-degree-weather event for over a week, many people start plugging in extra space heaters or run their electric central heater longer, which places a huge amount of strain on the grid. Luckily there are many in the midwest who use gas for heating, since it's way more efficient in the long winter months. There are other factors too, like some plants not being maintained to a level where they can operate at full capacity in freezing weather for weeks at a time (many can, but some are not maintained to that standard—see TX), so those plants can't just pop online like they normally would during the summer.
- hnburnsy 6y ago
  Southwest Gas asked their Arizona natural gas customers to cut back as the pipeline through Arizona feeds Texas.
  - rblatz 6y ago
    Did they? I have two properties serviced by them and didn’t get any notification.
    - hnburnsy 6y ago
      >Southwest Gas is asking customers to conserve resources as states contend with cold weather. According to the utility, shortages are not anticipated in Arizona, but conservation will help maintain the interstate pipeline system. https://www.kgun9.com/news/local-news/southwest-gas-asks-customers-to-conserve https://www.kgun9.com/news/local-news/southwest-gas-asks-cus...
Scoundreller 6y ago
Ontario Canada reporting. CAD$85/mwh (or ~US$65). We have several gw available on standby, and pretty much even on exports/imports. And we do export to USA as needed to/through Michigan/NY. Parents got ~10" of snow yesterday night. But it's just business as usual. https://www.ieso.ca/en/Power-Data https://www.ieso.ca/en/Power-Data

etimberg 6y ago

Could be a number of factors. Prices are generally composed of generation, loss, and congestion terms. The generation term is driven by the marginal cost of energy (i.e. what's the cheapest generator that still has capacity). The losses term is fairly self explanatory. The congestion term factors in the thermal ratings on equipment based on what can be delivered to a location. Someone else speculated that this is due to a rise in Natural Gas costs. This would make some sense given that the rise is uniform across the region. Disclaimer: I work in the energy space. I know nothing about what is happening here and these are personal opinions.

rovr138 6y ago

capacity and demand.