In which I provide a pricing update for the month, and a rundown of the success and struggles of the last month.
Pricing Update
Overall, December was very cold, and although Alberta set a new peak electrical demand (at 12,785 MW), realtime power and gas prices have remained comparatively week. Wholesale prices for power over the last month came in at 4.067 ¢/kWh and wholesale gas came in at $3.18/GJ.
In looking at longer term hedges, prices rise as you go further out, with 2028 (or later) wholesale hedges coming in >11 ¢/kWh. Largely, this is likely driven by the expected data centre boom and related expected capacity squeeze.
Our pricing for January:
| Term | Electricity | Natural Gas |
|---|---|---|
| Floating1 | ~5.1 ¢/kWh | ~$4.07/GJ |
| 1 year Fixed | 7.99 ¢/kWh | $3.49/GJ |
| 2 year Fixed | 8.49 ¢/kWh | $3.99/GJ |
| 3 year Fixed | 9.29 ¢/kWh | $3.99/GJ |
| 5 year Fixed | 9.89 ¢/kWh | $3.99/GJ |
Overall, I continue to suggest floating for electricity. For natural gas, the 1 year fixed price looks like the way to go.
Read the rest, including about the new logo and the negotiations of our updated backend agreement.
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This is approximate December retail pricing. I have another source that lists previous 30 day pricing (so mid-December to mid-January) at 5.69 ¢/kWh for electricity and $3.39/GJ for natural gas. Floating prices can and do change month to month, and vary slightly between wire areas. ↩