February 15, 2001
California high school students put their education to work.
Jan. 11, 2001
Dear Secretary of Energy Richardson:
To manage congestion on the power grid, most traders would rather book a firm path than risk a loss on a financial hedge.
Restructuring Plans. The Ohio PUC denied rehearing of its restructuring order for FirstEnergy issued two months earlier, rejecting arguments by all petitioners-utility, marketers, and consumer watchdog groups.
Engineers Have Their Day
Some fear NOx controls will spawn outages and higher power prices.
Utility executives say the EPA's plan to reduce ground-level ozone in the nation's eastern half by controlling emissions of nitrogen oxides in upwind states could undermine electric reliability and force power prices higher.
Gas-on-Gas Discounting: Still a Zero-Sum Game
Do not mistake the FERC's professed neutrality on what works best for regional transmission organizations.
In its final rule on regional transmission organizations, known as Order 2000,[Fn.1] the Federal Energy Regulatory Commission said it would not dictate to the electric utility industry whether and how to form RTOs. Don't be misled. The FERC claims to be agnostic,[Fn.2] but it still has a vision. And that vision leads inexorably to one conclusion. The preferred form for an RTO is the independent system operator, or ISO.
Options and insurance each has a niche, but price collars are cheaper and more adaptable to market risk and customer behavior.
During the summers of 1998 and 1999, wholesale prices in the Midwest soared to $7,000 or more per megawatt, in comparison to a more typical summer price of $30 to $50 per megawatt. In a competitive environment, electricity suppliers - that is generators, utilities, marketers, etc. - will offer a variety of pricing products ranging from flat rates to real-time pricing (RTP). By varying degrees, price risk will be passed to the end-user.