November 14, 2001—Henwood’s Power Market Advisory Service, a provider of independent power market fundamentals analysis, insight, and trends, recently released “The Transformation of Midwest Power Markets: Implications for Strategy and Performance,” its latest assessment of power market fundamentals for the Midwest region of the Eastern Interconnect. The report details the wholesale electric price forecasts and how they are formed in over fourteen local Midwest power markets, with the corresponding fuel prices for gas, coal, and oil. Additionally, it details the effects that a 13-percent increase in installed capacity throughout the Midwest—either entering the market in 2001 or currently under construction—has on expected electric prices. Other issues affecting the Midwest analyzed in the report include a projection of summer transmission congestion and the State Implementation Plans for nitrous oxide, including the corresponding impact on electric prices.
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