Insight
Record summer gas burns set the stage for winter gas market volatility
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
The natural gas market has become reliant on growing power plant demand in order to keep prices above $2.00. Record gas demand in the summer of 2018 kept inventories far below normal and helped bring on the highest gas price volatility in the last five years. In this report we explore the different drivers of demand growth from the electricity market. We also show the regional variations in demand growth and discuss the surprising declines in demand in some parts of the country.
Table of contents
-
Executive Summary
- Weather: an important factor but not the whole story
- Structural changes to the power stack increase gas burns
- A rising tide lifts all boats: overall power load growth increases gas burns
- Regional differences in gas burns
Tables and charts
This report includes the following images and tables:
- Daily gas burns the past two summers
- Coal power plants: declining share of US generation market
- Factor attribution for gas demand growth
- Peak summer (July-Sept) gas burn growth: 2018 vs 2017
What's included
This report contains:
Other reports you may be interested in
Commodity Market Report
ERCOT power markets short-term outlook: October 2024
After a challenging start to 2024, power prices have rebounded over the second half of the year in conjunction with recovering gas prices.
$5,990
Commodity Market Report
Southeast power markets short-term outlook: October 2024
After a challenging start to 2024, power prices have rebounded over the second half of the year in conjunction with recovering gas prices.
$5,990
Commodity Market Report
Midwest power markets short-term outlook: October 2024
After a challenging start to 2024, power prices have rebounded over the second half of the year in conjunction with recovering gas prices.
$5,990
