ISO-NE Monitor: New England Power Markets Were Competitive In 2013
May 07, 2014
ISO-New England’s independent market monitor reported that the region’s power markets were competitive last year, adding that higher wholesale prices were driven by an increase in natural gas costs. The 2013 Annual Markets Report also found that the value of the wholesale power market was up 45 percent from 2012, to $8.8 billion, with electric energy comprising $7.5 billion; average real-time prices increased 55 percent, to $56.06/MWh; the average price of natural gas rose 76 percent from 2012, to $6.97 per million British thermal units; reserve payments increased from $29.8 million in 2012 to $54 million last year; the cost of capacity declined by 11 percent, from $1.19 billion in 2012 to $1.06 billion in 2013; demand-side resources participating in the forward capacity market fell 11 percent, from 1,724 MW in December 2012 to 1,535 MW in December 2013; and payments to demand resources totaled $92.2 million in 2013, up slightly from $91.6 million in 2012.