Upside risks for Northeast power burn to drive market-area price volatility

摘要

Market-area gas hubs across the US Northeast could experience an uptick in price volatility this summer as power burn demand hits record levels driven by hotter temperatures and recent changes to the region’s generation stack. Already this year, gas demand from Northeast power generators is outpacing the 2018 average. Through mid-May, regional power burn demand has averaged nearly 6.6 Bcf/d, or about 600 MMcf/d higher compared with the 2018 year-to-date average, S&P Global Platts Analytics data shows.