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Increased demand and emissions costs drove wholesale prices up despite lower natural gas costs.
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Natural gas prices have been dropping since early 2023, yielding lower energy costs.
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Low natural gas prices and mild temperatures during the winter of 2023/2024 resulted in the lowest seasonal energy prices since 2020.
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Following FERC’s order, DASI is set to take effect March 1, 2025.
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The cost per megawatt-hour of load served was $49 in fall 2023, compared to $89 for the previous year.
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Energy costs were down 64% from last summer, and capacity costs were down 39%.
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Lower natural gas prices led to a 57% reduction in energy market costs in New England compared to the previous year.
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The total estimated wholesale market cost of electricity for winter 2023 was nearly $1 billion less than the previous winter.
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The total estimated wholesale market cost of electricity for the fall of 2022 was $2.39 billion.
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High natural gas prices continued to drive up wholesale electricity prices.
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