A hot summer with above-normal temperatures throughout most of the US will likely mean higher electric and natural gas prices this summer, according to the US Federal Energy Regulatory Commission’s summer energy market and reliability assessment. The assessment, presented by FERC staff at the commission’s monthly meeting Thursday, projects particularly high prices for California this summer, made worse by drought and wildfires. A drought in the region has lowered reservoir water storage levels in California to 66% of the historical average and limited snowpack to 33% of its normal level during this time of year, typically the peak of snow accumulation in the state. FERC staff said this could cut hydroelectric power generation in the state in half this summer. Further, state officials are considering the need for water restrictions that could limit the amount of water available to natural gas-fired power plants, staff said. Article continues below… Gas […]