Electric Light & Power Guest Article: Shale is Permanently Changing U.S. Electricity Markets

03/06/2013

The U.S. electricity market is in the midst of a sweeping transformation with implications for power producers, investors and end-use customers.

The electricity, natural gas and coal markets have converged into a tightly integrated market in which prices for the three commodities are determined by intense competition between natural gas-fired generation and coal.

Power producers realize that in a post-shale market, margins are likely to be thin.

Many plant owners are often reluctant, however, to develop a rigorously supported position regarding future price levels.

Excerpted from Electric Light & Power, March 6, 2013. To view full article, click here.

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