Peaks

Although officials at the Northeast Power Coordinating Council (NPCC), which oversees electric power grid reliability for Northeastern North America, are forecasting sufficient electricity supplies to meet demand this summer, they cautioned last week that reserves are low.

Although officials at the Northeast Power Coordinating Council(NPCC), which oversees electric power grid reliability forNortheastern North America, are forecasting sufficient electricitysupplies to meet demand this summer, they cautioned yesterday thatreserves are low.

The “unbalanced state” of the natural gas market with demandexceeding supply has caused PaineWebber analyst Ronald Barone toraise his average gas price projections by 15 cents for this yearand 10 cents next year over previous predictions, and warn ofpossible severe price spikes throughout the balance of this year.

The “unbalanced state” of the natural gas market with demandexceeding supply has caused PaineWebber analyst Ronald Barone toraise his average gas price projections by 15 cents for this yearand 10 cents next year over previous predictions, and warn ofpossible severe price spikes throughout the balance of this year.

As many had expected, the cash market retreated slightlyThursday from the early May aftermarket peaks posted Wednesday. Thedecline was moderate with most points off anywhere from a penny ortwo to just over a nickel.

A rate case that fixed the price of Mountaineer Gas Co. salesfor the next three years has led the LDC to seek supply and assetmanagement services from Coral Energy. Coral became the principalgas supplier to Mountaineer through an agreement giving Coralmanagement of virtually all of Mountaineer’s total firmtransportation and storage entitlements.