The grid operators of most of the US' seven organized power markets have issued hot weather alerts in an attempt to balance supply and demand while hot weather triggers higher electric-powered air conditioning use.
PJM Interconnection, the New York Independent System Operator (NYISO), the Midcontinent Independent System Operator (MISO), the Independent System Operator of New England (ISO-New England) and Southwest Power Pool (SPP) have issued alerts.
PJM Interconnection, the largest US grid operator serving 67mn customers in the mid-Atlantic and beyond, issued a hot weather alert that took effect on Thursday, asking generators to defer or cancel maintenance, confirm equipment is functional and review fuel supply and delivery schedules in anticipation of above-normal demand.
ISO-New England confirmed on Thursday that the precautionary alert it issued Wednesday would remain in effect as hot, humid weather threatened tight operating conditions Thursday evening.
Day-ahead peak power prices for zone J in New York City on Wednesday jumped to $149.74/MWh, double the week-earlier price and the highest since 23 June, when there was a more severe heat wave. The New England Pool peak day-ahead price on Wednesday dropped to $140.24/MWh, down by 23pc from the previous session but triple the week-earlier price.
The Transco zone 6 New York natural gas index, a key indicator for prices in New York City, from 15-16 July topped $3.40/mmBtu for the first time since 23 June, while the Algonquin Citygates index in New England from 15-16 July topped $9/mmBtu for the first time since February.
MISO on Thursday made a "conservative operations" declaration, effective from 8am ET on 21 July to 10pm ET on 25 July. SPP, which spans a cluster of states north of Texas and west of MISO's service territory, also issued a weather advisory for the central and southern regions of its balancing authority area, effective from 1pm ET on 21 July to 9pm ET on 24 July.
NYISO on Thursday said its statewide energy supply conditions were normal, though it also said resources from its emergency demand response program would be needed from 3-10pm ET on Thursday.
The Electric Reliability Council of Texas, operator of the state's electric grid, has not issued a weather-related alert, nor has the California Independent System Operator. The ERCOT Houston peak day-ahead price on Wednesday rose to $41.85/MWh, up by 33pc from a week earlier and the highest since 30 June.
Temperatures in New York City were forecast to peak at 89°F (32°C) on Thursday and 86°F on Friday. Temperatures in Houston, Texas, were forecast to peak at 96°F on Thursday and 88°F on Friday.
