Natural Gas Spiked Up Today
Natural Gas spiking up todayÂ due toÂ the sabotaged natural gas pipelines exploding in Mexico a few days ago has raised electric rates in Texas a large percentage. For those commercial businesses waiting to see how low electric rates will go, you may have just seen the last of it. Electric Rates are heading up so fast that many electric companies had to pull contract prices today because of the large fluctuation in the natural gas futures prices.
For those electric companies that hedged their energy before this price spike, they will be able to honor the electric rateÂ contracted.Â Because the explosion knocked out a large Natural Gas infrastructure in Mexico it would not be out of the question to see gas prices rising back to $7 MMBtu. This would likely raise rates to theÂ .09 cents a kwh rates we saw a few months ago.
It’s too late to lock in at last weeks low fixed prices but you can still get in on a good MCPE rate that remains at historcal low levels right under 7 cents a kwh.