NEW YORK (AP) - A slump in the price of natural gas utilities to produce electricity cheaper. However, the savings can not be converted to provide customers with a lower interest rate. Instead, the U.S. electricity prices.
Price of electricity is expected to rise slightly this summer. However, any increase is worth noting that, because this is used to produce nearly one-third of state power, natural gas, 43 percent cheaper than the same period last year. Analysts say a long-term downward trend in the price of electricity, you can begin to reverse.
"It caused us scratched our heads and said:" Taylor Hodge, analyst at the Department of Energy to study the price of electricity.
The recent heat wave, to seize the country to increase the demand for electricity, as a family hand-cranked air conditioning. And may increase some of the June utility bills. The analysts said, but the country's electricity prices and other factors, is due to:
- Retail electricity rates in many countries, the regulatory body set up every few years. Therefore, the lower the cost of power generation, has not yet made their way to the customer.
- Utilities tend to lock the natural gas and other fuels, their cost in advance. This helps to protect customers when fuel prices, but it can prevent customers from falling prices benefits.
- Electricity, accounting for 40% of the average customer's bill, the actual delivery costs have been rising rapidly. Have eaten from the electricity production potential savings.
Construction of transmission lines of utilities, installation of new equipment and stationary power plants, analysts say, many years of insufficient investment.
Has been in the retail electricity price gradually declined, which may have averted. Adjusted for inflation, the average retail electricity price has drifted mostly lower, since 1984, when it was 16.7 cents per kilowatt-hour.
"The person will have to foot the bill, said:" David Wright, vice chairman of the South Carolina State Public Service Commission and national regulatory commissioner Association.
Expected to average U.S. residential electricity price of 12.4 cents per kilowatt-hour for the period June to August, up 2.4 percent from a year earlier. Throughout the year, electricity prices are projected to rise by 2%.
In a typical summer month, which would mean that the housing bill, including the power and its cost of a family, plus local taxes and fees additional $ 300.
The tariff is complex, and different states. In the power supply to allow competition, such as Texas, Pennsylvania and New York, customers can shop around and cheap electricity, but shipping fees are still set by the regulatory agencies.
Natural gas prices plummeted, and materials to create a warm winter in the past few years, a substantial increase in U.S. natural gas production.
Coal production in the United States accounted for 38% of all power, natural gas plays a huge role in determining the tariff. The electricity power transmission to meet the price paid by the needs of any particular moment in time from the factories of the past is how to set the wholesale price of a particular region. Gas power plants are usually the most expensive, they tend to eventually be dismissed.
Cheap natural gas, resulting in lower wholesale electricity prices. Competitive markets, such as Exelon and NRG Energy Company, National Power Corporation in the business, have also seen profits and stock prices to wholesale prices. Those in the more standardized the electricity market, such as Southern Company and Dominion Resources Company, the business situation is much better, because their prices do not fluctuate more.
Lower wholesale prices to some customers' bills, and other people can see a temporary dip next year. The very least, analysts said the decline in natural gas prices keep rising faster than they are, otherwise there will be electric rate.
Customers can still get a break this summer - if not their electric rates, then at least from nature.
This summer has been hot in most parts of the country began, is expected to be higher than normal temperature. But it will not be like the past two summer heat, according to Matt Rogers Group in commodity weather forecast for the energy industry.
Do not get too excited, though. Hodge's calculation of the Department of Energy, if the summer forecast is set up, customers will save 5.95 yuan, the average monthly



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