By Editors of Power Engineering
Wholesale electricity prices remained relatively unchanged last year, though California and Texas experienced some spikes, the Energy Information Administration reported.
California’s reported average monthly wholesale price increased by 18 percent, while the average in Texas increased by 27 percent. Though less volatile natural gas prices helped national prices remain stable, late summer heat waves caused short-term price spikes in some western markets.
The PJM ISO reported average prices of $34 per MWh during 2017, or one percent lower than 2016. Though ISO New England experienced price surges of up to $75 per MWh in December, its annual wholesale price of $38 per MWh was just seven percent higher than 2016.
The hot summer in California lead to near-record hourly levels in California, with August prices averaging $55 per MWh in August, or 42 percent higher than the same month in 2016.