More than the California governor’s “usual suspects” appear in the list of top 20 power sellers to the state during the first five months of this year when average spot prices went from $321/MWh in January to $271/MWh in May, according to pricing information released Monday by the state Department of Water Resources (DWR). Average overall prices–spot and long term–paid by DWR went from $316/MWh in January to $243/MWh in May.

Surprisingly, the Texas-based alleged “gougers” and “pirates” made infamous in the accusations of California Gov. Gray Davis over the months of energy turmoil did not receive the highest average spot prices or the most revenue from overall power sales to the DWR since Jan. 17, 2001. That was the date when the state was thrust into its electricity-buying role as a result of the two major investor-owned utilities losing their creditworthiness and financial ability to make bulk power purchases. Two in-state sellers and a Canadian company–which have mostly escaped the incendiary rhetoric from the state politicians and been omitted from their list of ‘villains’–are, in fact, in the top five in sales revenues from DWR and registered some of the highest prices paid.

In total, 75 bulk power suppliers sold $5.9 billion in wholesale electricity to the state through May, and the top 20 sellers included seven government-run suppliers that accounted for almost $2 billion, or about one-third of the sales, with Powerex, the marketing arm of government-run BC Hydro in Canada selling a little over $1 billion in electricity, the second biggest source after Atlanta-based Mirant ($1.2 billion).

California-based Sempra Energy companies affiliated with Sempra’s San Diego Gas and Electric Co. were the fourth largest sellers at $428 million in bulk power sales, and the nation’s largest municipal utility, Los Angeles Department of Water and Power (LADWP), was fifth with $331 million in sales.

In average spot prices during the first quarter of the year, Powerex prices averaged $498/MWh and LADWP’s were at the $292/MWh level. Private sector merchant generators, such as Duke Energy, Dynegy and Mirant, averaged far less, from $146 to $240/MWh for spot supplies.

In total sales to the state, Williams ($476 million), Dynegy ($296 million), and Duke ($164 million) ranked third, sixth and ninth respectively, and the federal government-run Bonneville Power Administration (BPA) in the Pacific Northwest was eighth with $167 million in sales during the first five months of the year. Even the state DWR, ranked 18th on the list, selling $84 million in power from its extensive water system that is both the state largest consumer and producer of electricity.

Houston-based Enron Corp., which has been the target of strong criticism from some state elected officials, didn’t crack the top 20 sellers with its $44 million in bulk power sales to the state. The municipal utility serving the city and county of Sacramento, SMUD (Sacramento Municipal Utility District), was the 20th largest seller at $80 million.

In a companion summary of natural gas price impacts, DWR’s report indicated that for every $10/MMBtu in natural gas costs, fuel costs for electricity would equal $100/MWh. Thus, in February when the average Southern California border price for gas was $18.74/MMBtu, the resulting average fuel cost portion of electricity generated would have been $187.40/MWh, not including other additive capital operations and maintenance, emissions and other costs.

Average spot prices reported in the first quarter, according to DWR’s records, for Calgary-based TransAlta Energy were $335/MWh; $330/MWh for Sacramento’s SMUD; $225/MWh for Mirant; and $181/MWh for Enron.

The top 20 power sellers (with $ totals) to California through May 31, 2001:

*Designates government-run operations.

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