Energy Congestion In West Texas Costing Millions to End Users! Can Risk Management Help?
March 12, 2013
Congestion costs in the West Load Zone increased dramatically in 2012, and in 2013 we expect the trend to continue. While these costs have tapered off since October 2012, there are reasons to believe that congestion in the West Load Zone will continue to be a significant issue through 2015. Additionally, in light of the root causes of congestion cost increases in the West Load Zone, there is a chance that such costs could also increase in the South Zone over the next year or two as the Eagle Ford Shale play grows.
Energy management and in particular energy risk management strategies to address physical constraints require an intimate knowledge of market operations and a fundamental understanding of the grid. If you need assistance in trying to manage congestion or other energy issues that are having an adverse impact on your bottom line, you should engage your energy manager or an Acclaim Representative.
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