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ERMUSR MISC. ITEMS 10-15-2003
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ERMUSR MISC. ITEMS 10-15-2003
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City Government
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ERMUSR
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10/15/2003
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Gas has been growing in importance as a generating fuel so the <br /> recent increase in gas prices had a noticeable effect on the average <br /> cost of all fossil-fuel deliveries. Natural gas generation more than <br /> doubled between 1982 and 2002, accounting for 13.6 percent of all <br /> generation in 1982 and almost 18 percent by the end of the 20-year <br /> period. (See TABLE 1 below.) <br /> Table 1: Electric Power Generation— <br /> Coal vs. Natural Gas <br /> Generation, in Million Megawatt-Hours <br /> Percent Change <br /> 1982 1987 1992 r 1997 2002 1982 to 2002 <br /> Coal 1,192.1 1,463.8 1,621.2 1,845.0 1,926.4 61.6% <br /> Natural Gas 305.3 272.6 404.1 479.4 685.8 124.6% <br /> Total Generation 2,244.4 2,575.3 3,083.9 3,492.2 3,838.6 71.0% <br /> Percent of Total <br /> Coal 53.1% 56.8% 52.6% 52.8% 50.2% <br /> Natural Gas 13.6% 10.6% 13.1% 13.7% 17.9% <br /> Source: Energy Information Administration, Monthly Energy Review <br /> Recent Trends in Revenue <br /> Per Kilowatt-Hour <br /> The major impetus to competition in the electric industry was <br /> the Energy Policy Act of 1992 (EPAct), which allowed unregulated <br /> power producers to enter the market and charge market-based rates. <br /> This section looks at average rate levels between 1995 and 2001, a <br /> time when the effects of EPAct were first being felt. <br /> Electricity Price Trends 5 <br />
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