Coal generation declined in the first half of August in the PJM Interconnection to average 562,275 MWh, down from a 12-month high of 656,596 MWh in the second half of July and 600,190 MWh averaged in H1 August 2019, according to PJM data.
Coal's generation share in the regional transmission organization -- which covers 12 states and the District of Columbia -- fell to 21.7% in H1 August, down from 23.2% in the prior half month and 23.1% in the same period a year ago. It was the third-highest generation share for coal in a half month in the last nine months, only lower than 22% in H1 July and H2 July.
Coal generation has declined from July to August in each of the last five years.
Average natural gas generation fell to 1.12 million MWh, or 43.3%, in the first half of August, down from 1.24 million MWh, or 43.9% in H2 July, but up from 1.1 million MWh, or 42.2%, in the same period a year ago.
Nuclear's generation share rose to 30.3% in H1 August, up from 27.5% in H2 July, but flat from a year ago.
Total generation fell to an average 2.58 million MWh in H1 August, down from 2.83 million MWh in H2 July and 2.59 million MWh in the first half of August 2019. It was the lowest average generation for the corresponding half-month since 2.38 million MWh in H1 August 2017.
According to CustomWeather, temperatures across the PJM footprint fell to an average 76.4 F, down from 80.4 F averaged in H2 July, but up from 76 F in H1 August 2019.
PJM issued hot weather alerts for 10 days in the second half of July, but no alerts were issued in the first half of August. "Hot weather alerts are issued when temperatures are expected to exceed 90 degrees Fahrenheit (93 degrees in some areas) with high humidity, driving up demand for electricity," according to the PJM website.
PJM West Hub day-ahead on-peak prices averaged $27.14/MWh in the first half of August, down from $31.15/MWh in H2 July and $29.30/MWh in the first half of August 2019.
Similar to the decline in power prices, spot gas prices fell in the first half of August. Along the Texas Eastern (TETCO) M-3 pipeline, prices for next-day flows averaged $1.559/MMBtu in H1 August, down from $1.78/MMBtu in the second half of July and $1.851/MMBtu in H1 August 2019.
Prompt-month coal prices, however, rose in the latest half month. Central Appalachia 12,500 Btu/lb rail (CSX) coal for prompt-month delivery averaged $39.90/st in H1 August, up from $36.83/st in H2 July, but down from $52.40/st in the first half of August 2019.
