| The South Central United States Drives US Electricity Generation | |
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Interest Rate Worries Pull the Utilities Sector Down (Part 7 of 11) (Continued from Part 6) Electricity generation by division in the US
The weekly electricity output and week-over-week change in production levels across different divisions in the US are in the chart below. The Edison Electric Institute (or EEI) provides weekly electricity production data by division across the US.
South Central drives growth
Electricity generation across all divisions except for South Central and the Rocky Mountains dropped during the week ending February 27.
Electricity generation in the South Central region increased by 19% (or 2.4 million MWh). Duke Energy (DUK) and Southern (SO) operate in this region.
The Rocky Mountain was the only other region to record growth during the week ended March 6. The region’s electricity generation increased by 6% to 4.8 MWh during the week.
Growth offset elsewhere
Electricity generation across the US, except the South Central and Rocky Mountain regions, dropped. The Southeast, which led the gain during the previous week, saw a 2.2 MWh (or 9%) decrease in electricity generation. The Mid-Atlantic saw electricity generation fall by 0.9MW, or 9%. FirstEnergy (FE) has operations in the Mid-Atlantic. Elsewhere, the fall was marginal.
Impact on coal
Historically, the eastern United States was served by coal producers in Appalachia and the Illinois Basin, while the western states were served by the Powder River Basin (or PRB). Since PRB coal is the cheapest, there might be some movement of PRB coal to eastern states. However, the historic equation largely remains the same. A fall in electricity generation in most of the major western and Mid-Western regions isn’t good news for PRB coal producers (KOL) like Cloud Peak Energy (CLD).
Weekly coal production data may give you some idea about coal’s demand for electricity generation. However, coal demand also depends on natural gas prices. In the next part of this series, we’ll have a look at coal shipments, which mirror demand, in the US for the week ended February 27.
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Duke Energy
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CODE : DUK |
ISIN : US26441C2044 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Duke Energy is a and oil producing company based in United states of america. Duke Energy is listed in United States of America. Its market capitalisation is US$ 69.3 billions as of today (€ 64.7 billions). Its stock quote reached its lowest recent point on May 02, 2003 at US$ 10.00, and its highest recent level on February 17, 2023 at US$ 99.99. Duke Energy has 700 299 523 shares outstanding. |