North America
December 21, 2015
Fossil Fuels | Natural Gas
Policy Brief
Regulators Reconsider Utility Hedging Policies Given Shifts In Natural Gas Flow
Utilities Prioritize Price Stability Over Cost Reduction In Fuel Procurement
Key Takeaways: Florida’s investor-owned utilities will continue to employ current natural gas hedging practices, which have resulted in approximately $6B opportunity costs Evolving supply-demand dynamics of the natural gas market spur utility commissioners to reconsider hedging policy Ongoing state efforts to enhance hedging mechanisms reflect the need for long-term supply contract structures Insight for…
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