An Early Christmas Present: The Beacon, 12/07/2020

The Headline:   Natural Gas prices fell sharply last week, pulling wholesale electricity prices down with them.   Prices are as low as they are likely to get before the spring of 2021, and they may not see these levels next year if drilling rig counts don’t improve or if fracking regulations change.  Now is the time to lock in your electricity and natural gas rates and save money.  

The Bottom Line:    Natural gas prices through early 2022 dropped as much as 10% last week – that will pull down a component of electricity prices as well.   Drilling rig numbers continue to grow, but are still very low – roughly 44% of pre-COVID numbers.   That leaves these low short-term prices vulnerable to weather concerns – when storage levels get low as they do every winter, prices are likely to go up and spike.   We are advising our customers to lock in both electricity and gas rates right away.    

Click HERE for your free copy of the Beacon!