June 2013

Trends and Resources

HP Impact: US electricity demand sinks, while coal captures market share from gas

US electricity demand in April 2013 was the lowest monthly demand the country has seen in three years, as April temperatures trended warmer for the East Coast and West Coast, while a core of well-belo..

Thinnes, Billy, Hydrocarbon Processing Staff

US electricity demand in April 2013 was the lowest monthly demand the country has seen in three years, as April temperatures trended warmer for the East Coast and West Coast, while a core of well-below-average temperatures lingered in the Upper Midwest, according to a report from Genscape. Coal-based power generation continues to take back market share from gas that was lost in 2012. Henry Hub prices are up by over 100% year-on-year, while Genscape estimates that delivered coal costs have only increased by 5%. As a result, April coal consumption, on a MWh basis, was up by 15% vs. 2012, while natural gas generation was down by 19%. Year-to-date, coal continues its strong run, up by 13%, whil

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