Tag Archives: power prices

California urges power conservation in heat wave, prices soar

(Reuters) – U.S. power prices for Wednesday jumped as homes and businesses crank up air conditioners to escape another heat wave, prompting the California electric grid operator to urge conservation.

The United States has been beset by extreme weather events this year, including February’s freeze in Texas that knocked out power to millions and record heat in the Pacific Northwest this summer.

High temperatures were expected to reach 102 degrees Fahrenheit (39 degrees Celsius) on Friday in Portland, Oregon, where the normal high is just 80 degrees F (27 C) at this time of year, according to AccuWeather.

Meteorologists also forecast hotter-than-normal weather in Central California, which is used to temperatures over 100 F (38 C).

The California ISO, the grid operator for most of the state, issued a flex alert urging consumers to conserve electricity Wednesday evening to reduce strain on the grid and avoid outages when solar power stops working as the sun goes.

Last August, a heat wave forced California utilities to impose rotating blackouts that left over 400,000 customers without power for up to 2-1/2 hours when supplies ran short.

Next-day power prices for Wednesday more than doubled to $198 per megawatt hour at the Mid Columbia hub in Washington. In 2020, the hub averaged $26.

The California ISO forecast power demand would peak at 41,579 megawatts (MW) on Wednesday before easing to 41,483 MW on Thursday. That is below July 9th’s peak for the year of 43,193 MW and the all-time high of 50,270 MW in July 2006.

One megawatt can power about 200 homes in the summer.

The ISO has said it expects to have about 50,734 MW of supply available this summer, but some of that is solar, which is not available when the sun sets.

The ISO had 14,628 MW of solar capacity in June that produced a record 13,205 MW in May.

(Reporting by Scott DiSavino; editing by Jonathan Oatis)

Avista warns of more power outages in Washington state due to heatwave

(Reuters) – Washington state energy company Avista Corp told customers to prepare for more heat-related outages on Tuesday after some lost power Monday evening, as homes and businesses cranked up their air conditioners to escape a brutal heatwave.

The company said outages planned for Tuesday “are a protective measure intended to minimize the customer impact, alleviate strain on the electric system and prevent extensive damage to the system that could result in prolonged outages.”

“The electric system experienced a new peak demand, and the strain of the high temperatures impacted the system in a way that required us to proactively turn off power for some customers,” Avista CEO Dennis Vermillion said in a news release.

The Pacific Northwest has been gripped by an intense heatwave that has shut down much of daily life for residents.

High temperatures in Seattle, the biggest city in the U.S. Pacific Northwest, will reach 92 degrees Fahrenheit (33 Celsius) on Tuesday, down from a record 104 F on Monday, according to forecasts by AccuWeather. That compares with a normal high of just 73 F at this time of year.

Power prices in the Pacific Northwest for Tuesday eased with the Mid Columbia (Mid C) hub in Washington state down to $146 per megawatt hour (MWh) from a record $334 for Monday.

That compares with an average of $30 per MWh at the Mid C over the past five years (2016-2020).

Avista urged all 400,000 of its power customers in Washington, Idaho and Oregon to conserve energy and warned that many of the roughly 8,000 homes and businesses that experienced outages on Monday could have the same thing happen on Tuesday.

The company said the outages will be targeted during the hours of 1 p.m. and 8 p.m. local time and are expected to last one hour.

Some customers may experience more than one outage with no less than one hour in between outages.

(Reporting by Scott DiSavino; Editing by Paul Simao)

Heat wave drives U.S. West power prices to highest since February freeze

(Reuters) – Extreme heat expected to blanket the U.S. West next week caused power prices for Monday to soar to their highest since the February freeze when natural gas pipelines and wind turbines froze in Texas leaving millions without power.

High temperatures will reach the low 90s F (about 34 C) in Los Angeles on Monday-Wednesday, which is about 20 degrees higher than the city’s normal high for this time of year, according to AccuWeather forecasts.

Last summer, a heat wave in August forced California utilities to impose rotating blackouts that left over 400,000 homes and businesses without power for up to 2-1/2 hours when energy supplies ran short.

The group responsible for North American electric reliability has already warned that California is the U.S. region most at risk of power shortages this summer because the state increasingly relies on intermittent energy sources like wind and solar, and as climate change causes more extreme heat events, drought and wildfires across the U.S. West.

Power traded on Friday for Monday delivery jumped to $151 per megawatt hour (MWh) at Palo Verde in Arizona and $95 in SP-15 in Southern California, their highest since the February freeze caused prices across the country to soar.

In addition to soaring power prices, gas for the rest of 2021 in California has traded at its highest in years on expectations an extreme drought in the U.S. West will cut hydropower supplies and force the state to rely more on gas-fired power plants this summer.

That would make it tough for California to reduce carbon dioxide emissions this year and shows how difficult it would be for the most-populous U.S. state to keep the lights on if it starts shutting gas-fired plants in the coming years as it moves toward getting all electricity from carbon-free sources by 2045.

(Reporting by Scott DiSavino; Editing by Steve Orlofsky)