ERCOT peakload records, Texas wind output may fall July 8-12; gas burn may fill in

by Mark Watson, Kelsey Hallahan & Karen Rivera; S&P Global Platts | Source: S&P Global Platts | Posted 07/07/2022

ERCOT forecast peakload of 77.3 GW on July 7, just shy of the July 5 record, and up to 81.3 GW on July 11.

AI generated summary

The Electric Reliability Council of Texas (ERCOT) has projected record peakloads from July 8-12 due to a persistent heat wave, with temperatures expected to reach triple digits across much of the state. As wind output declines, the demand for natural gas-fired generation is likely to increase, leading to higher wholesale power prices. ERCOT forecasts peak loads to reach between 77.8 GW and 81.3 GW during this period, with significant heat advisories issued for most of Texas.

As temperatures rise, ERCOT anticipates a substantial drop in wind generation, which could lead to a surge in gas-fired power demand, pushing regional spot gas prices higher. Preliminary data indicates that spot gas prices have already increased, with the Houston Ship Channel and Katy Hub seeing notable gains. However, the ongoing outage at Freeport LNG may mitigate some of the upward pressure on gas prices by injecting additional supply into the market.

Link to Original Article

Please find the link to the full article below. (Please note that content provider might require a paid subscription)

Source Link: https://www.spglobal.com/commodityinsights/en/market-insights/latest-news/natural-gas/070722-ercot-peakload-records-texas-wind-output-may-fall-july-8-12-gas-burn-may-fill-in

Create a free trial account: Sign Up

Grid monitor is free to try. No credit card required

ERCOT peakload records, Texas wind output may fall July 8-12; gas burn may fill in

AI generated summary

Link to Original Article

Create a free trial account: Sign Up

Already have an account? Login