It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Some features of ATS will be disabled while you continue to use an ad-blocker.
The market-clearing price for new 2015 capacity – almost all natural gas – was $136 per megawatt. That’s eight times higher than the price for 2012, which was just $16 per megawatt. In the mid-Atlantic area covering New Jersey, Delaware, Pennsylvania, and DC the new price is $167 per megawatt. For the northern Ohio territory served by FirstEnergy, the price is a shocking $357 per megawatt.
Why the massive price increases? Andy Ott from PJM stated the obvious: “Capacity prices were higher than last year's because of retirements of existing coal-fired generation resulting largely from environmental regulations which go into effect in 2015.” Northern Ohio is suffering from more forced coal-plant retirements than the rest of the region, hence the even higher price.
These are not computer models or projections or estimates. These are the actual prices that electric distributors have agreed to pay for new capacity. The costs will be passed on to consumers at the retail level.
Originally posted by KeliOnyx
Of course it will be the same three morons that do nothing but complain about the President. Let's just completely ignore the fact that the power companies should have been upgrading and reducing pollution all along on their own. The fact is if they had been being responsible they would have been doing it all along and not be crying foul when the Government has to step in and make them do it.
Instead of purchasing gas powered turbines that will more or less pay for themselves over the course of years in NE Ohio what does First Energy do? Hold an auction designed to drive prices up that is what. Why? Because when you have a monopoly on needs you can do that. Please quit crying whoa is me for the corporations whose own irresponsibility put them in a position that they may have to take a loss for a year or two but instead choose to gouge the consumers.edit on 22-5-2012 by KeliOnyx because: (no reason given)
Originally posted by Auricom
reply to post by xuenchen
I'm all for new tech that not only helps the environment, but also secures a better operational future for our children. So this is one thing I can stand behind Obama on, something very rare for me. However, I feel the government should foot the extra bill. If they can bail out companies that don't deserve billions upon billions, and if they can spend trillions on black military projects, they can foot this bill too.