Your Energy Report ... and an Important Update on Lighting Rebates

Happy President’s Day!

Last week saw another slight drop in forward energy prices, with gas down 0-4 cents in all but 3 months through December 2025.    Strip prices are off 1-2 cents each, and are holding a contango shape with the shorter terms being less expensive than the longer terms.     Fundamentals suggest limited reason to believe the recent market trend will change – temps are forecasted to be largely normal or warmer than normal for the bulk of the population, drilling rigs are essentially flat, and most importantly, natural gas in storage is holding between the 5-year average and the 5-year max, and is 600+ bcf above last year.    Now is definitely a good time to buy, and we recommend taking advantage of these low prices to lock in forward rates on your power and natural gas.

On another front, Lighthouse staff heard from local utility representatives regarding the impacts of Ohio House Bill 6 on utility lighting rebates, and the news isn’t good.   DP&L is “operating as if” rebates will be available for the remainder of 2020, but considerable uncertainty exists if that will actually be the case.    Rebates are expected to “pause” in 2021, if not sometime earlier.   The recommendation of DP&L staff was to move forward with lighting rebates ASAP to ensure you get your rebate.  

Lighthouse staff is here to help – reach out to your Lighthouse contact or give me a call at 937-709-0098 x701 to get your energy bid process started or get a free lighting audit at your facility. 

Click HERE for your download of the report