Permeated

In a tremendously weak beginning of the November aftermarket, triple-digit plunges — some exceeding $2 — permeated Monday’s quotes. Power generation loads were light as mild to cool temperatures prevailed in most areas, and last Friday’s screen dive of more than 60 cents added further downward pressure on cash quotes.

A ghost from the 2000-2001 wholesale energy scams that permeated the West has revisited the California Independent System Operator (CAISO) as an offshoot of its implementation last October of part of its comprehensive market redesign. As a result, CAISO has incurred unnecessary higher costs for import and export of power between California and other control areas, and the appearance of so-called “wash” trading where fictional deals take place to boost trading volumes for marketers.

Moderate softness permeated the cash market Wednesday as the screen turned in a negative performance and weather-related load remained stagnant in the East while fading a bit in the West. Small declines of about a nickel or less (with occasional flatness) were recorded at most points, but a cooldown from recent hot weather generated losses of 10-25 cents or so in much of the West (although that region also had a few points slightly to either side of flat).