Is our grid operator really still angling for a new pipeline?
ISO New England put out a Regional Electricity Outlook on February 22, 2017, when winter prices looked like they could be set to skyrocket again (graph on the left). Turns out, that point where the graph ends was the winter peak – more of a blip, really. But the graphic on the left has been widely reproduced to support the narrative that capacity constraints continue to cause price spikes. We had to go digging on ISO-NE’s website to find out how last winter really played out. It seems that the much feared “capacity constraints” are not really causing price spikes any more, thanks in part the updated Winter Reliability Program and recent market reforms at ISO New England. A new pipeline project would clearly be overbuild.