Volume 18, Issue 10 | January 10, 2022

Happy New Year from WGL Energy


We would like to thank you – our customers, channel partners and members of our business development community for choosing WGL Energy.

We look forward to serving you in 2022 and wish you a healthy, happy, and prosperous New Year!!!


Editor's Note

Prices Bounce Back from Year End Lows

Week in review for January 2 8, 2022

Thursday, the U.S. Energy Information Administration (EIA) reported that working gas in storage as of Friday December 31, 2021, was 3,195 Bcf. This was a decrease of 31 Bcf from the previous week which was lower than market expectations. Inventories are now 154 Bcf lower than they were at the same time last year, and 96 BCF above the 5-year average.

In the last week of 2021, the near-term market hit lows not seen since August, but has bounced back a bit this week with the 12-month NYMEX natural gas strip (Feb22-Jan 2023) up 5.7% and the PJM Western Hub ATC (7X24) 12-month strip up 3.9%. 2023-2025 continue to trade at a discount to the Balance of 2022.


Weather

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

  

 

May-21

June-21

July-21

Aug-21

Sep-21

Oct-21 

Normal 

156

351

522

445

255

55

 Actual

119

348

192

492

241

92

Departure from Normal 

24%
Cooler

1%
Cooler

6%
Cooler

11%
Warmer

6%
Cooler

69%
Warmer

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.