substantial volatility in wholesale market prices, significant financial distress among major industry organizations, and …Electricity markets in the United States have witnessed unprecedented instability over the last few years, with … electricity industry. Recent industry instability also illustrates the need for thoughtful resource planning to balance the cost …

prices have increased); and (3) natural gas-fired generators often set the market clearing price in competitive wholesale …-term natural gas price forecasts from the AEO series to contemporaneous natural gas prices that can be locked in through the … forward market, with the goal of better understanding fuel price risk and the role that renewables can play in mitigating such …

-term natural gas price forecasts from the AEO series to contemporaneous natural gas prices that can be locked in through the … forward market, with the goal of better understanding fuel price risk and the role that renewables can play in mitigating such … (i.e., the risk that natural gas prices might differ over the life of a gas-fired generation asset from what was expected …

.e., what the market is expecting spot natural gas prices to be over the next 10 years). We find that over the past two years … gas swap (i.e., what it costs to lock in prices over the next 10 years) to a 10-year natural gas price forecast (i …) over expected spot prices to lock in natural gas prices for the next 10 years. This incremental cost to hedge gas price …

.50 cents/kWh over expected spot prices to lock in natural gas prices for the next 10 years. This incremental cost is …