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LCG Publishes 2024 Annual Outlook for Texas Electricity Market (ERCOT)

LCG, October 10, 2023 – LCG Consulting (LCG) has released its annual outlook of the ERCOT wholesale electricity market for 2024, based on the most likely weather, market, transmission, and generator conditions.

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LCG Publishes 2024 Annual Outlook for Texas Electricity Market (ERCOT)

LCG, October 10, 2023 – LCG Consulting (LCG) has released its annual outlook of the ERCOT wholesale electricity market for 2024, based on the most likely weather, market, transmission, and generator conditions.

Read more

Industry News

Canadians Clash Over Alberta Power

LCG, April 24, 2002-Power generators and consumers began a six-week hearing this week in Calgary over the congestion management of Alberta's transmission grid.

Alberta's transmission authority, ESBI Alberta, manages 20,000 kilometers of transmission. Expanding the aging system to meet future generation needs is estimated to cost somewhere between half a billion and one billion Canadian dollars ($319 to $638 million).

Generators and consumers, northerners and southerners must find some medium by which to operate the Alberta grid.

Large companies like TransCanada PipeLines Ltd. and TransAlta Corp. will contest ESBI's proposals, which include retaining a "postage stamp" approach to increasing production and applying transmission fees to support exports. Postage stamp fees essentially set a standard price on transmission transactions regardless of distance or path of the transaction.

Some participants contend that generators may benefit from export revenues gained from expansion, which would be paid for by customers. According to the Dow Jones, Optimum Energy Management Inc.'s Dale Hildebrand asserted, "If you believe in the market, let the market decide. Don't roll costs in to give one generator a competitive advantage over another generator."

According to the consulting firm, lower cost generation in northern Alberta will most likely profit from rolled-in costs over southern generation because Alberta's main export line is in the south and transmission is limited in the north-south power corridor.

Although Optimum Energy believes an agreement can be reached, an intervener noted, "Organizing the schedule is like herding cats, or better said, lions and Siberian tigers."

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