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Chilly in Texas…

You are here: Home / Commodity Research / Chilly in Texas…

February 14, 2021 by Jim Colburn Leave a Comment

Here is a price map for Texas power prices from ERCOT, here… And this, from Bloomberg:

”A mix of freezing temperatures and precipitation threatens to paralyze wind farms in Texas. That would be devastating for power plants with contracts to provide a certain amount of electricity at specific times if they need to instead buy it on the spot market to meet their obligations. At the moment, that power is exceedingly expensive.

“When wind-turbine blades get covered with ice, they need to be shut down,” said Joshua Rhodes, a research associate at The University of Texas at Austin who focuses on energy.

About half of Texas’s wind turbines were inoperable Sunday morning because of ice and cold. Yet those that are running are cranking out more power than forecast for this time of year, Woodfin, grid operator Ercot’s senior director, said during a briefing Sunday.“

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Commodity Research Group (CRG), founded by veteran analyst Edward Meir, is an independent research consultancy specializing in base and precious metals, as well energy products. The Group provides research and general price analysis for these markets, along with advice to companies seeking to construct commodity hedging strategies.

Our associates bring decades of experience to the table, as they seek to help our clients understand the markets. CRG will distill the myriad of pricing variables mentioned above into coherent research that is to-the-point and tailored to a clients hedging or pricing needs. In addition, CRG is available for consulting assignments and speaking engagements. CRG does not manage money or trade for itself.

 


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