Volume 17, Issue 31 | October 5, 2020

Editor's Note

Prices Down This Week As Storage Levels Remain High

Weekly review for September 26 October 2, 2020

 
On Thursday, the U.S. Energy Information Administration (EIA) reported that working gas in storage as of Friday, September 25, 2020 was 3,756 BCF.  This was an increase of 76 BCF from the previous week and was in line with what the market was expecting.  Storage levels are 471 BCF (14.3%) higher than a year ago, and 405 BCF (12%) higher than the 5 year average for this date.
 
After a few seasonable days to start the month, it looks like warmer than normal temperatures will return, as the National Weather Service 8-14 day outlook predicts warmer than normal temperatures for our area.
 
Prices were lower this week for both gas and power.  At the end of the week, the NYMEX natural gas 12-month strip was down 5.6%, while the PJM West Hub 12-month forward curve was down 2%.  
 
 
This past week's market information is provided as a courtesy to our customers and is not indicative of, nor should be relied upon, as representative of future transactions.


Weather

Washington, D.C. Area Cooling/Heating Degree Days

  

 

**Apr-20 

May-20 

Jun-20 

Jul-20 

Aug-20 

Sep-20 

Normal 

 236

 159

356 

 527

450

260

 Actual

 296

 94

360

 586

453

187

Departure from Normal 

25%, Colder 

41%, Colder 

1%, Warmer 

11%, Warmer 

1%, Warmer 

28%, Colder 

Cooling degree day (CDD) data is for the Washington, D.C. area and is calculated by comparing the day’s average temperature to a 65-degree baseline. If the day’s average temperature is below 65, there are no cooling degree days that day. If the day’s average temperature is greater than 65 degrees, then subtract 65 from the average temperature to find the number of cooling degree days.

**Heating degree day (HDD) data is for the Washington, D.C. area and is calculated by comparing the day’s average temperature to a 65 degree baseline. If the day’s average temperature is above 65, there are no heating degree days that day. If the day’s average temperature is less than 65 degrees, then subtract that average temperature from 65 to find the number of heating degree days.