Short-Term Energy Outlook

January 9, 2007 Release

http://www.eia.doe.gov/emeu/steo/pub/contents.html

Highlights:

-          This edition of the Short Term Energy Outlook (STEO) includes forecasts through 2008.

-          Warm December weather led to a decline in crude oil and natural gas prices. Between December 1 and the end of the month, the West Texas Intermediate (WTI) spot price fell  from $63.48 per barrel to $60.85, and the Henry Hub natural gas spot price dropped from $8.67 per thousand cubic feet (mcf) to $5.67. For a review of notable events that occurred in petroleum markets in 2006, see This Week in Petroleum.

-          Projections of U.S. heating fuel expenditures for the 2006-07 winter season have declined from last month’s STEO reflecting warm weather. Average household heating fuel expenditures are projected to be $873 this winter compared to $948 last winter. This would be the first winter since the winter of 2001-02 in which home heating fuel expenditures are expected to decline from the prior winter.

-          In 2007 and 2008, total U.S. energy demand is expected to increase at annual rates of about 1.2 and 1.7 percent, respectively.

-          The price forecasts over the next few months have been lowered from last month’s Outlook, but projections beyond this winter are relatively unchanged. The price of WTI crude oil, which averaged $66.02 per barrel in 2006, is projected to average $64.42 per barrel in 2007 and $64.58 per barrel in 2008 (West Texas Intermediate Crude Oil Price).  Henry Hub natural gas prices, which averaged $6.94 per mcf in 2006, are projected to average $7.06 in 2007 and $7.72 in 2008.

 

FERC approves $1 billion pipeline project to bring new gas service to Northeast http://www.fmlink.com/Home/News/news.cgi?catid=102&display=article&id=22130

More info can be found here: http://www.newsday.com/news/local/longisland/ny-bzferc0109,0,7224082.story?coll=ny-li-bigpix

 

January 8, 2007—The Federal Energy Regulatory Commission (FERC) has approved a $1.04 billion interstate natural gas pipeline project proposed by five companies that will provide more than 525, 400 dekatherms per day of Canadian and domestic gas to meet rising energy demand in New York.

The companies propose to construct and operate more than 260 miles of new pipeline and more than 115,130 horsepower of compression to transport natural gas from the US-Canada border to the New York City metropolitan region.

FERC Chairman Joseph T. Kelliher observed, "The Millenium pipeline is an important project. It will help deliver badly needed natural gas supplies to the New York City metropolitan area. Demand for natural gas has been rising in the region, and these kinds of infrastructure projects are necessary to assure adequate energy supplies at reasonable prices. If we fail to strengthen our energy infrastructure, the inevitable result will be high prices."

FERC says it will impose 56 environmental conditions to mitigate any potential adverse impacts stemming from the construction and operation of the proposed project. The Commission ordered that construction of the facilities be completed and available for service within three years of the date of the order.

 

Oil recovers lost ground as natural gas gains http://www.marketwatch.com/News/Story/Story.aspx?column=Futures+Movers&print=true&dist=printBottom

Oil falls, but off lows under $55; natural gas gains on cold weather forecasts

By Myra P. Saefong, MarketWatch

Last Update: 1:38 PM ET Jan 9, 2007


Artic air will move into the Northwest late Tuesday and bring snow to Seattle and Portland in the "the first shot of true winter weather that will spread across the nation in the upcoming week," AccuWeather reported.

Natural gas for February delivery climbed 18.7 cents, or 2.9%, to $6.565 per million British thermal units on the New York Mercantile Exchange, recovering from a low of $6.28 seen earlier in the session. The contract touched a more than two-week high of $6.59.

But oil prices have been pressured by the current above-normal temperatures in the northeastern U.S. and expectations that this week's supply data will show the first increase in crude inventories in seven weeks.

 

 

More Leading Organizations Rally to Meet EPA's Building Challenge Release date: 11/14/2006

Contact Information: Enesta Jones, (202) 564-4355 / jones.enesta@epa.gov

(11/14/06) From schools to grocery stores to hotels to offices, 20 new organizations across the country are being recognized for rising to the challenge to reduce the energy they use, save money, and help the environment. As part of the Energy Star Building Challenge, these organizations joined 20 others as Energy Star Leaders for improving the energy efficiency of buildings.

Energy Star Leaders manage over 212 million square feet of building space -- more than the combined office space of Boston, San Francisco and Washington, D.C. These grocery stores, offices, hotels, and schools achieve significant energy savings with simple steps, such as turning off lights and computers while not in use, setting temperatures that balance comfort and efficiency, upgrading to more efficient lighting, and more. Energy Star Leaders also demonstrate a corporate commitment to energy efficiency, with involvement at all levels from students to executives.

EPA provides easy-to-use tools to help building owners and managers reduce energy use. The national building energy performance rating system helps building managers rate the efficiency of their buildings on a scale of 1 to 100 points, set goals for improving building efficiency, and document improvements. Energy Star Leaders have either documented a 10 point or greater improvement across all of the buildings within their organization or have earned an exemplary average rating across all buildings.

Announced in 2005, the Energy Star Challenge encourages building owners and managers to reduce energy use by 10 percent or more. Commercial and institutional buildings use about $80 billion worth of energy each year and contribute about 20 percent of U.S. greenhouse gas emissions. EPA estimates that if each building owner met this challenge, by 2015 Americans would reduce greenhouse gas emissions equal to those from 15 million vehicles, while saving about $10 billion.

More information about Energy Star Leaders: http://www.energystar.gov/index.cfm?c=news.nr_news#challenge
The 2006 Energy Star Leaders: http://www.energystar.gov/2006Leaders

 

Power Savings Partner Program http://www.nyserda.org/programs/swp/swp.asp

The Power Savings Partner Program is a collaborative effort between NYSERDA and Con Edison to provide additional funds for load management, energy efficiency, and distributed generation programs to help manage and reduce energy usage especially during peak periods, and at other times. Programs through the Power Savings Partner collaboration are available to Con Edison electric distribution customers that pay the SBC and/or the Monthly Adjustment Clause (MAC).

The Collaboration builds upon and includes the New York Energy $martSM programs which are aimed at lowering electricity costs across the State through a number of energy efficiency and demand reduction programs.

Goals of the Program

 

Oman's crude futures contract delayed until at least March

Reuters Published: 29/12/2006 12:00 AM (UAE) http://archive.gulfnews.com/articles/06/12/29/10092786.html

Singapore: The Dubai Mercantile Exchange (DME) has delayed the launch of its much-anticipated Oman crude oil futures contract until at least March as it fine-tunes some of the details, industry sources said yesterday.

The contract, the first sour crude oil futures to have the backing of a Middle East producer, was earlier reported to be poised for a launch around mid-February, although the DME has never publicly set a date for the start of trade.

"Now we're hearing March," said one industry source who has been in contact with officials from the DME, a joint venture between the New York Mercantile Exchange, Oman and Dubai.

A second Singapore-based trade source said the launch could be delayed further as the DME addresses concerns over the physical delivery process, a crucial element if the Oman contract is to succeed where a half-dozen other sour crude futures in Asia, Europe and the US have failed over the past two decades.

Industry sources say the DME has taken a careful approach in preparing the groundwork for the contract, pushing back the planned launch in an effort to ensure it attracts enough liquidity in the first months to guarantee its success.

 

 

Coming Events:

 

FERC staff will conduct public comment meetings for the proposed Broadwater LNG Project. (Docket Nos. CP06-54-000 and CP06-55-000)

Tuesday, January 09, 2007 thru Thursday, January 11, 2007 plus a meeting will also be held Tuesday, January 16.

Please follow the link for more information http://ferc.gov/EventCalendar/EventDetails.aspx?ID=3039&CalType=%20&CalendarID=116&Date=1/18/2007&View=List

 

 

Building Energy 2007: Building for a Changing Climate

March 13-15, 2007 • Seaport World Trade Center

Early registration ends February 12

http://buildingenergy.nesea.org/

Discover BuildingEnergy07

It is where you belong! We promise you the best opportunity available to gather and share ideas with the renewable energy and green building professionals who are shaping the Practice of Sustainability. We want you to discover why building for a changing climate matters. We believe that your practice is part of that picture. We've invited thought and practice leaders to inspire, challenge, enlighten, and inform you. We expect you to engage them, and each other, in our common pursuit of sustainability's best practices.

 

Globalcon 2007

April 4-5, 2007, Atlantic City Convention Center / Atlantic City, NJ

ENERGY & FACILITIES MANAGEMENT CONFERENCE & EXPO http://www.aeecenter.org/store/detail.cfm?id=770&category_id=3

Decision makers from business, industry and government must now seek integrated energy solutions — solutions which assure both a secure and affordable power supply, and effective management of both energy and overall operational costs. Globalcon 2007, presented by the Association of Energy Engineers, is designed specifically to facilitate those who need to get up to speed on the latest developments in the energy field, explore promising new technologies, compare energy supply options, and learn about innovative and cost-conscious project implementation strategies. The multi-track conference covers a variety of topics, and gives you the opportunity to hear first-hand from some of the major players in the energy field.

Your conference registration includes FREE admission to the companion exposition, a copy of the conference proceedings on CD, as well as complimentary tickets to scheduled conference attendee luncheon functions. Free workshops on a variety of topics will also be held in the Globalcon exhibit hall.

 

BOMA/NY Annual Energy Awareness Day

Wednesday April 18th   8 – 11:30 am Marriott Marquis - Astor Ballroom (7th Floor)

The morning educational session will explore the following three areas affecting Property Owners and Managers in New York City:

-          Con Ed Steam’s recent activity, winter 06/07 results and cost projections/guidance for 07/08

-          Sustainability as a Policy and Operations Driver.  What’s with the buzz and where do we go from here?

-          Local Market Dynamics are always changing.  How-To take advantage of existing/upcoming opportunities.