What a Difference a Year Makes

What a Difference a Year Makes Last September, our COO, Jim McDonnell, was the lead-off speaker for the first session of the Maryland Clean Energy Center’s Energy Economy Speaker Series. The topic was State of the Sector: Impacts of Covid-19 on the Energy Economy. Jim provided a broad energy market update and then focused on…

Read More

Electricity and Rock: Still Not Friends

By Evelyn Teel In a previous blog post, we discussed findings from the U.S. Geological Survey (USGS) that the I-95 corridor is particularly at risk of grid outages in the event of a geomagnetic storm. You can read that blog post here: https://avalonenergy.us/2018/07/electricity-meet-rock/.  Further research has been conducted, and a new report from the USGS…

Read More

Avalon Energy Services Turns 10 Years Old This Month

Late 2008/early 2009 was an unsettling time.  Bear Stearns was bailed out, Lehman Brothers went bankrupt, the housing market collapsed, credit markets were frozen, the stock market fell more than 40%, the unemployment rate was approaching 10%, and energy markets were in turmoil.  The Great Recession was underway.  Despite this uncertainty, during April of 2009,…

Read More

Separate Paths – Part 2

By Ana Rasmussen, Intern Our last blog post Separate Paths – Part 1 looked at how electricity distribution costs have been rising since 2008 and many of our readers have had questions about just why this is happening.  In order to explore this, and to try to get some answers, I dove in and analyzed seven…

Read More

Separate Paths – Part 1

By Ana Rasmussen, Intern Since the shale boom began in earnest during 2008, natural gas prices in the US wholesale market have fallen dramatically. Prices have hovered within the 2 to 6 dollar per million Btu (mmBtu) range over the last few years, with the prompt month NYMEX natural gas contract trading at a remarkably…

Read More

Natural Gas and Electricity Are Parting Ways – Part 2

In our last article, Natural Gas and Electricity Are Parting Ways – Part 1, we explored the weakening correlation between wholesale natural gas prices and electricity prices in the Mid-Atlantic.  While natural gas prices have fallen dramatically over the past seven years, and electricity prices have fallen as well, electricity prices have not fallen as…

Read More

Natural Gas and Electricity Are Parting Ways – Part 1

In recent articles, we have explored the dramatic decline in natural gas prices over the past seven years.  See These Are Days To Remember and 10,000 Maniacs Were Right. In the US Mid-Atlantic, natural gas and electricity prices have, over time, tended to move together.  While there has by no means been a perfect correlation between…

Read More

Natural Gas Market Update

The above graph looks at natural gas prices going back to January 1997. Natural gas prices have retreated from the Polar Vortex bump and remain relatively low by historical standards. The prices plotted above are not adjusted for inflation.  If they were in 2014 dollars, the left side of the curve would be more elevated. …

Read More