Utility Dive•22 days ago
Gas, electricity prices spiked year over year in November: EIA
Key Takeaway
The massive year-over-year increase in natural gas prices will significantly drive up electricity generation costs and impact power prices for large consumers and the financial viability of gas-fired projects.
AI Summary
- •Residential electricity prices rose 5.5% year-over-year in November.
- •Residential natural gas prices surged 88.5% year-over-year in November.
- •The dramatic increase in gas prices will significantly elevate operating costs for gas-fired generation (CCGT, simple-cycle) and directly impact wholesale electricity prices.
- •Large power consumers, including datacenters, will face substantially higher electricity costs due to these price spikes, impacting project economics and PPA negotiations.
Topics
ccgtdatacenterfinancingppasimple-cycle