Commodity Market Report
Coronavirus will disrupt WECC power markets for at least 18 months: WECC power and renewables March 2020 STO
Report summary
The direct impact to the US economy and power markets from the coronavirus has become increasingly dramatic over the past month, and we project significant pullbacks in the larger North American economy and corresponding impacts to demand for power, with our baseline view calling for a sharp recession over the next several quarters. Should stimulus not help as much as anticipated, the recovery time could be longer.
Table of contents
- North American power markets are in unchartered territory, with events evolving quickly, and assumptions being constantly revised.
- Our baseline view yields lower power demand and power prices across North American power markets.
- Demand destruction
- The realized path of GDP may be worse despite the fiscal and monetary stimulus, as our more severe scenario has losses running through 2023.
- Commercial, industrial and transportation electricity demand curtailment will result from the economic downturn.
- Regional drivers will have cumulative impacts to demand
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Risks to new capacity
- Wind
- Solar
Tables and charts
This report includes 1 images and tables including:
- Figure 1: US GDP Growth
What's included
This report contains:
