Gas consumption plummets as renewable generation goes up

February 28, 2014 | By Barbara Vergetis Lundin

Genscape is reporting that renewable generation was up 30 percent for the week ending February 20, 2014, while gas consumption plummeted 35 percent as a result of the increase in renewables and weaker power demand. According to Genscape estimates, the total weekly generation of 11,982 GWh was the second highest weekly number in the past five years.

It was an active week for wind, with gusty southerly winds early in the period and strong northerlies on the back side of a very strong cold front to end the week. Wind generation in the Midwest is a significant driver of the increase week-over-week. Midcontinent ISO wind was up 31 percent, Southwest Power Pool wind was up 117 percent, and ERCOT wind was up 129 percent.

Genscape reports that hydro generation in the Pacific Northwest was also up 39 percent, despite ongoing drought conditions.

The drop in gas consumption (-7,847 GWh) was particularly evident in Texas and surrounding states. After strong output in recent weeks, many units in ERCOT, such as Midlothian, Freestone, and Kiamichi, did not run. The additional factors were a combination of weaker demand (ERCOT was down 25 percent week-over-week), higher gas prices, and gas unit outages. For much of the week, the ERCOT day-ahead markets were trading below an 8,000 btu/kWh heat rate -- likely not enough to clear this generation.

For more:
- see this report

http://www.fierceenergy.com/story/gas-consumption-plummets-renewable-generation-goes/2014-02-28