CalPX Block Forwards Market Shows Increasing Volume.PASADENA, Calif.--(BUSINESS WIRE)--July 28, 1999-- A total of 2,175 contracts were matched during the first six days of electricity trading in the California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W). Power Exchange's Block Forwards Market, George Sladoje, chief executive officer, announced today. "Although the Block Forwards Market is still in its infancy infancy, stage of human development lasting from birth to approximately two years of age. The hallmarks of infancy are physical growth, motor development, vocal development, and cognitive and social development. , we are very pleased to see increasing volumes and interest by market participants The term market participant is used in United States constitutional law to describe a U.S. State which is acting as a producer or supplier of a marketable good or service. When a state is acting in such a role, it may permissibly discriminate against non-residents. in recent days," he said. "This week, volume doubled from Monday through Wednesday, with electricity contracts worth about $13 million being traded today." Since today was the final day in July for trading August-delivery contracts, Sladoje said activity increased from 250 contracts a week ago to 650 contracts traded today. This volume increase came as market participants used this new product to lock in energy prices for on-peak hours during August when higher demand of electricity statewide traditionally increases prices in the spot electricity markets. The prices resulting in August transactions have ranged from a high of $50.25 per contract to a low of $47.25 for delivery in the Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, (SP15) area and a high of $50.50 to a low of $46.76 per contract for the Northern California Northern California, sometimes referred to as NorCal, is the northern portion of the U.S. state of California. The region contains the San Francisco Bay Area, the state capital, Sacramento; as well as the substantial natural beauty of the redwood forests, the northern (NP15) area. In addition to the August contracts, contracts also have been matched for energy delivery during September. In the Block Forwards Market, each contract represents a megawatt meg·a·watt n. Abbr. MW One million watts. meg  a·watt of electricity delivered over 16 on-peak hours daily for each day of the
month, except for Sundays and certain holidays. This translates to a
contract equaling 400 to 416 megawatt hours of energy over the monthly
period.
Block Forwards Market participants can trade energy contracts for delivery up to six months ahead of the current month. On Aug. 2, the CalPX Block Forwards Market will begin offering contracts for delivery in February 2000. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion