Natural gas below $2 for first time in a decade. NEW YORK (AP) — The price of natural gas has fallen below $2 per 1,000 cubic feet for the first time in more than a decade, a remarkable decline for a commodity that not long ago was believed to be in short supply.
The U.S. supply of natural gas is growing so fast that analysts worry the country's underground storage facilities could be full by fall and lead to further price declines. On Wednesday, the futures price of natural gas fell to $1.984 per 1,000 cubic feet, its lowest level since January 28, 2002, when it hit $1.91. If the price slides to $1.75, it would be the lowest since March 23, 1999. Natural gas production has boomed across the country as energy companies employ new drilling techniques to tap previously untouched reserves. The process has raised concerns about water safety and has been banned temporarily in New York and New Jersey. Virtual power plants fill supply gaps in heat wave. During a few hours of last week's East Coast heat wave, thousands of megawatts worth of electricity--enough to power hundreds of thousands of homes--were temporarily removed from the grid, a practice grid operators expect to do more often to weather energy supply crunches on the grid.
PJM, which operates the wholesale electricity market in 13 states, on Monday reported that it put into effect an "emergency" demand response program last week, tapping over 2,500 megawatts worth of energy reductions, dispersed over thousands of sites, to ensure that electricity flowed during times of peak demand. The last time PJM called in these " demand side resources " was an August day three years ago.
But automated efficiency technology, particularly dialing back electricity usage during peak times, is becoming one of the most effective smart-grid tools for maintaining the balance between electricity supply and demand. In aggregate, though, those changes are significant. ENERGY STAR Success Stories & Awards. SaveONenergy - Énergie NB Power. Energy efficiency. Free Energy.