A depreciation typically pushes up the cost of imported goods, but this is not the mechanism at work in UK wholesale gas prices. While the UK is a net importer, especially in the winter, most of the gas arriving is linked to NBP prices and denominated in sterling.
After years of trying to bring more natural gas to New England, the industry may finally have run out of ideas.
Since 2013 utilities and pipeline companies has tried to bring lower-cost shale gas into parts of New England with the highest gas prices in the US. It was envisioned that local electric utilities in multiple states would sign long-term contracts needed to support the construction of new pipelines and ensure less expensive fuel for merchant power plants. This included projects such as Spectra Energy’s Access Northeast pipeline and Kinder Morgan’s Northeast Energy Direct project.
But unfavorable court rulings and regulators finding fault with the approach have left the idea in tatters. The latest blow came when Connecticut regulators last week canceled a request for proposals related to the initiative. Massachusetts and New Hampshire have put their efforts on hold because of legal problems. Continue reading
When nuclear power plants fail, what is left to pick up the slack?
If you haven’t guessed from the headline, then I’ll let you know that it’s gas-fired power generation. And it’s helping to support LNG and pipeline gas prices.
The 173,400m³ Stena Clear Sky LNG tanker saved a cat and its owners off the coast of northern Brazil last week.
The reach of US LNG is growing, but Australia isn’t worried yet. But should it be?