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Misty Blue · 01-31-2014, 10:48 PM

Hi Folks! I hope that you check out the pond hockey this weekend. But now to the subject.

I have been in the electrical power industry since 1978. When not working on the Lake I am a private power producer and have worked as a NERC certified system operator at the New England ISO. I know the biz.

First off "Where does your power go?". Short answer, almost every where. My dinky little plant in Tamworth is interconnected (in Sync) whth every piece of AC distribution wire from here to Canada to the Rockies to the Gulf, except Texas. We are all hooked together.

We produce more power in New Hampshire that we use so we export it. True, but it doesn't matter. Our rates are managed by the Indipendent System Operator (ISO) located in Holyoke, MA. Picture all of New England's electricity, Maine, New Hampshire, Vermont, Massachusetts, Connecticut and Rhode Island are all in the same boat and get paid the same. The ISO does inport and export power from inside NE to other ISOs.

As I sit here at my desk at 2130 on Friday night the price of juice is about$120 per megawatt. That would be 12 cents per Killiwatt at your door. Typically it should be around 30 to 50 buck a Meg this time opf year. That price is outragous. But why?

The price of electricty is set for every producer by the iSO. There are deals that brokers make to hedge their profits but all producers in the six states get paid the same. So if we are sending power to Mass. they don't have to produce as much and everybodys prices go down.

The choke point is the gas supply. Usually it is OK. When it is cold the gas people like to sell it to homeowners for morwe $$$. The gas plants run short and reduce output and the oil, coal and other expensive plants have to make up the difference at more money.

To increase the gas flow to NE would decrease the need for the expensive plants and reduce the ISO costs.

The ISO has been warning that we are becoming too dependant on one source of fuel, natrual gas for years. Well It has happened. Currently 42% of the electric supply in NE is is being supplied by gas turbines. And the price of gas is through the roof!

Sorry Don. i tried to be short but it is a big subject. I hope that this helps.

Misty Blue.

01-31-2014, 10:48 PM	#4
Misty Blue Senior Member Join Date: Jul 2004 Posts: 658 Thanks: 121 Thanked 283 Times in 98 Posts	Electric rates 101. Hi Folks! I hope that you check out the pond hockey this weekend. But now to the subject. I have been in the electrical power industry since 1978. When not working on the Lake I am a private power producer and have worked as a NERC certified system operator at the New England ISO. I know the biz. First off "Where does your power go?". Short answer, almost every where. My dinky little plant in Tamworth is interconnected (in Sync) whth every piece of AC distribution wire from here to Canada to the Rockies to the Gulf, except Texas. We are all hooked together. We produce more power in New Hampshire that we use so we export it. True, but it doesn't matter. Our rates are managed by the Indipendent System Operator (ISO) located in Holyoke, MA. Picture all of New England's electricity, Maine, New Hampshire, Vermont, Massachusetts, Connecticut and Rhode Island are all in the same boat and get paid the same. The ISO does inport and export power from inside NE to other ISOs. As I sit here at my desk at 2130 on Friday night the price of juice is about$120 per megawatt. That would be 12 cents per Killiwatt at your door. Typically it should be around 30 to 50 buck a Meg this time opf year. That price is outragous. But why? The price of electricty is set for every producer by the iSO. There are deals that brokers make to hedge their profits but all producers in the six states get paid the same. So if we are sending power to Mass. they don't have to produce as much and everybodys prices go down. The choke point is the gas supply. Usually it is OK. When it is cold the gas people like to sell it to homeowners for morwe $$$. The gas plants run short and reduce output and the oil, coal and other expensive plants have to make up the difference at more money. To increase the gas flow to NE would decrease the need for the expensive plants and reduce the ISO costs. The ISO has been warning that we are becoming too dependant on one source of fuel, natrual gas for years. Well It has happened. Currently 42% of the electric supply in NE is is being supplied by gas turbines. And the price of gas is through the roof! Sorry Don. i tried to be short but it is a big subject. I hope that this helps. Misty Blue.

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