US Natural Gas Prices: The Henry Hub spot price averaged $4.25 per MMBtu during December, an increase of about 54 cents form November's price of $3.71 per MMBtu. EIA expects the higher forecast production during the first half of 2011 compared with the same period last year, combined with a decline in consumption, to moderate natural gas spot prices. The projected spot price falls to a low of $3.73 per MMBtu in June then rises to $4.61 in December, averaging $4.02 per MMBtu for all 2011, which is $0.37 per MMBtu lower than the 2010 average and $0.31 per MMBtu lower than previous forecast. In 2012, the spot price rises to an average of $4.50 per MMBtu.

Uncertainty over future natural gas prices is slightly lower this year compared with last year at this time. Natural gas futures for March 2011 delivery (for the 5-day period ending January 6) averaged $4.39 per MMBtu, and the average implied volatility over the same period was 43 percent. This produced lower and upper bounds for the 95-percent confidence interval for March 2011 contracts of $3.21 per MMBtu and $6.02 per MMBtu, respectively. At this time last year, the natural gas March 2010 futures contract averaged $5.73 per MMBtu and implied volatility averaged 57 percent. The corresponding lower and upper limits of the 95-percent confidence interval were $3.88 per MMBtu and $8.47 per MMBtu.

US Electricity Retail Prices: EIA expects the US retail price for electricity distributed to the residential sector during 2010 to average 11.6 cents per kilowatt-hour, about the same level as in 2009. EIA expects the US residential price to increase only slightly over the forecast period--by 0.6 percent in 2011 and by 1.0 percent in 2012.

New Energy Choices

New York and New Jersey offer choices in suppliers for energy. Competitive prices, options and services are available to you. Your choice is between an Energy Service Company (ESCO) or the Utility. It is important that you know your options, cost and the value that each company offers. Knowledge is power and saves you time and money.

Deregulation: Energy Competition
Electric and Natural Gas utilities no longer have a monopoly on the energy markets

Energy Service Companies (ESCO's) are now a valued added option. They offer new products and services, and usually give a better value for your energy dollar.

The Utilities are still responsible for delivering electricity and gas to your business via their existing wires and pipes.

The is power is choice.

Energy updates every week.