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March 2024

Key Takeaways

Prices for both WTI and Brent were up slightly this past week. WTI increased 0.55% week-over-week to $75.35/barrel, and Brent was up 0.55% as well week-over-week to $79.83/barrel. The New York Harbor Heating oil price registered a small decrease over the last week, dropping by 0.39% to $2.54/gallon. The prompt month increased 5.2% week-over-week, landing at $1.84/MMBtu after a brief cold snap last week. QatarEnergy announced an 85% expansion of its current LNG capacity, which will make the country the world’s largest producer of LNG. New England electricity prices rose over the past week, with the NEPOOL 12-month strip increasing by $1.76 or 3.5% week-over-week, settling at $51.53/MWh. After recent increases due to announced gas production cuts, warm winter weather and continued high gas storage levels are expected to put downward pressure on prices.


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ISO-NE's Upcoming Forward Capacity Auction Reforms

By Conor Larkin, Energy Analyst

ISO New England's Forward Capacity Market (FCM) determines the electric generation capacity needed to ensure grid reliability under peak summer and winter demand conditions in the region. The Forward Capacity Auction (FCA) sets the price at which existing and new power resources are compensated for the reliable capacity they provide. Since the FCM’s inception in 2006, each FCA has established capacity commitments three years into the future to ensure that the grid supply mix has adequate generating and demand resources for peak demand events....


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Staff Pick Conor Larkin

Power Density: A Key to Understanding Energy Sources and Uses

By Vaclav Smil


In this book, Vaclav Smil argues that power density is a key determinant of the nature and dynamics of energy systems. Any understanding of complex energy systems must rely on quantitative measures of many fundamental variables. Power density—the rate of energy flux per unit of area — is an important but largely overlooked measure. Smil provides the first systematic, quantitative appraisal of power density, offering detailed reviews of the power densities of renewable energy flows, fossil fuels, thermal electricity generation, and all common energy uses. Smil shows that careful quantification, critical appraisals, and revealing comparisons of power densities make possible a deeper understanding of the ways we harness, convert, and use energies. Conscientious assessment of power densities, he argues, proves particularly revealing when contrasting the fossil fuel–based energy system with renewable energy conversions. Smil explains that modern civilization has evolved as a direct expression of the high-power densities of fossil fuel extraction. He argues that our inevitable (and desirable) move to new energy arrangements involving conversions of lower-density renewable energy sources will require our society—currently dominated by megacities and concentrated industrial production — to undergo a profound spatial restructuring of its energy system. (Amazon Book Review)

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