Prices failed to follow through on Thursday’s sharp 7.2 percent rise, as updated temperature outlooks show below normal temperatures limited to a slim area of the nation’s southern border and Gulf Coast into the second half of the month. Most of the country will see normal to above-normal temperatures, a persistent scenario that has slashed demand and allowed gas storage levels to balloon.

Most gains made Thursday were lost today—natural-gas futures for March delivery down 7.4 cents, at $2.479 per million British thermal units, after a low of $2,457/mmBtu.

Data released Thursday by the Energy Information Administration showed the level of natural gas in storage fell by a slightly greater-than-expected level of 132 billion cubic feet last week, amid a brief cold snap. But the surplus of gas in storage expanded to 25 percent above both a year ago and the five-year average for this time of year. In the prior week, the surplus was 21 percent above historical levels.

In fact during a recent address, Obama touted that the United States has “a supply of natural gas that can last America nearly 100 years.” The current administration has also referred to the U.S. as “the Saudi Arabia of natural gas,” and has pledged to get more U.S. vehicles running on natural gas and to have natural gas refueling stations built along select highway corridors. ”

Although we have a supply glut currently, the difficulty and uncertainty in predicting natural gas resources was underscored last month when the Energy Information Administration released a report containing sharply lower estimates.

The agency estimated that there are 482 trillion cubic feet of shale gas in the United States, down from the 2011 estimate of 827 trillion cubic feet—a drop of more than 40 percent. The report also said the Marcellus region, a rock formation under parts of New York, Ohio, Pennsylvania and West Virginia, contained 141 trillion cubic feet of gas. That represents a 66 percent drop from the 410 trillion cubic feet estimate offered in the agency’s last report.

The Energy Information Administration said the sharp downward revisions to its estimates were informed by more data.

Under the agency’s new estimates, the Marcellus shale, which was previously thought to hold enough gas to meet the entire nation’s demand for 17 years at current consumption rates, contains instead a six-year supply. The report comes just five months after the United States Geological Survey released its own estimate of 84 trillion cubic feet for the Marcellus shale.

The relationship between natural gas prices and electricity rates are often intertwined. Now is a great time to lock-in to a low electricity rate for your business. Don’t have the time to look around? No problem. By partnering with an electricity broker company like Live Energy, we make it easy to find the best rate and plan for your business. To ask questions and know your options, give one of our certified energy advisors a call today at 877-810-7700.

So what does this mean? Well if you are interested in making a well timed energy buying decision for you business or home for that matter, then now would be that time. Some of our clients are large global organizations with highly trained energy managers. They have engaged us to procure fixed electricity contracts for the next 5 years. It’s always a good idea to consider what the “smart money” is doing in a market. Right now the smartest guys we have the privilege of talking to are taking this opportunity to lock in very low rates for the as far as their credit will allow them to go.

With rates in the $.04-.05 cent/kwh range going out 5 years for businesses there is no disputing that we are experiencing an incredible opportunity to lock in historically low rates. To be clear, the natural gas market is very soft and we see no indication that it will go back to $14 like we saw in the summer of 2008. However, all you have to do is look at the historical chart to see how quickly we can go from $2 to $5, more than a 100% increase.

According to a Jan. 11 research report by Aneesh Prabhu, a New York-based credit analyst with Standard & Poor’s Financial Services, LLC , electricity prices have dropped more than 50 percent on average since 2008, and about 10 percent during the fourth quarter of 2011. Prices in the west hub of PJM Interconnection LLC, the largest wholesale market in the U.S., declined to about $39 per megawatt hour by December 2011 from $87 in the first quarter of 2008.

Natural gas for February delivery recently traded 13.1 cents, or 4.9%, lower at $2.539 a million British thermal units on the New York Mercantile Exchange.

The benchmark contract had fallen as low as $2.533 in earlier trading, closing in on the September, 2009, settlement of $2.508/MMBtu. A settlement below that level would be the lowest since 2002.

Now is a great time to lock-in to a low electricity rate for your business. Don’t have the time to look around? No problem. By partnering with an electricity broker company like Live Energy, we make it easy to find the best rate and plan for your business. To ask questions and know your options, give one of our certified energy advisors a call today at 877-810-7700.

Normally during the winter, the demand for natural gas rises as people crank up their furnaces to combat chilly weather. And this demand normally causes inventories to shrink – substantially.

However, Mother Nature hasn’t followed that story line this year.

Instead, most of the U.S. has seen abnormally mild winter temperatures. On Friday, the forecast calls for the Northeast to thaw out from its first brief cold spell. It’ll be in the 50’s and sunny in Reno, Nev., a place that normally sees snow by now. In the Midwest, warm weather has turned frozen ponds to slush. And in southern Minnesota, most people are enjoying weather that seems more fitting for April than in January.

As a result, natural gas held in storage by companies fell just 76 billion cubic feet to 3.5 trillion cubic feet in the week ending Dec. 30, the U.S. Department of Energy reported this week. The five-year average for the week is a decline of 106 billion cubic feet.

Current inventories are their highest ever for this time of year and about 12percent above year-ago levels. Total capacity is about 4.1 trillion cubic feet, according to the most recent DOE estimate—and is about 85 percent full.

Natural gas for February delivery settled down 5.1 cents, or 1.7 percent, to $3.011 a million British thermal units on the New York Mercantile Exchange. Futures are down 15 percent since the start of December and 32 percent over the last year.

Low natural gas prices often mean electricity rates stay low, too. Have you shopped around for your business’ electricity rate lately?  Now is a great time to consider switching electricity providers so you get the lowest rate possible. By partnering with a reputable electricity broker, you can start saving on your monthly bills. At Live Energy, we keep our finger on the market’s pulse—locking in a low rate with the right electricity provider has never been easier. For more information on how we can help you find the right electricity plan for your business, contact us at (877) 810-7770 today.

A three-judge panel of the U.S. Appeals Court in Washington Friday granted a request by electric power producers and other challengers to delay the deadline for plants in 27 states to begin reducing emissions of sulfur dioxide and nitrogen oxide while the court considers the rule’s legality.

The court hasn’t scheduled a date for argument, though the order suggested the judges would hear the case by April.

In other energy news…natural-gas futures were little changed early Tuesday, struggling to hold above $3 per million British thermal units, despite a spell of cold temperatures in the northeastern U.S.

Natural gas closed up $0.004 to $2.993.  Prices briefly rebounded above the $3 mark before dropping below that level on Friday for the first time in 27 months as forecasts for a quick return to above-normal temperatures for most of the nation renewed pressure on prices.

Natural gas continues to struggle this season due to mild temperatures and a supply glut. Forecasts for the next 6 to 10 days indicate most of the nation will have above normal temperatures, which should continue to keep a lid on demand for natural gas.

This morning, ERCOT trades for tomorrow’s peak hours went through in the mid $20’s and off peak trades went through in the low $20’s. Peak load for tomorrow is expected to be about 38,000 MW. For the next couple of weeks, high temperatures throughout most of ERCOT are forecast to be mainly in the 50’s and 60’s while occasionally reaching into the 70’s. Forward heat rates were mixed today as the summers were slightly weaker and the shoulders were generally stronger.

Now is a great time to lock-in to a low electricity rate for your business. Don’t have the time to look around? No problem. By partnering with an electricity broker company like Live Energy, we make it easy to find the best rate and plan for your business. To ask questions and know your options, give one of our certified energy advisors a call today at 877-810-7700.

The measure is sparking warnings from industry groups that contend the new regulations are too expensive and will place dangerous pressure on the nation’s electrical grid.

Industry lobbyists and congressional Republicans who have fought vigorously to halt new clean-air rules, warned of rolling blackouts and massive layoffs in the energy sector if the regulations were implemented. Sen. James Inhofe (R-Okla.) vowed to introduce legislation to halt the mercury rule when Congress returns after the holiday break.

“This rule isn’t about public health. It is a thinly veiled electricity tax that continues the Obama administration’s war on affordable energy and is the latest in an unprecedented barrage of regulations that make up EPA’s job-killing regulatory agenda,” Inhofe said in an emailed statement. “I am determined to apply the brakes to President Obama’s runaway regulatory agenda before it wrecks our economy.

And what does that mean for you—the consumer? When power plants have to start retrofitting their operations to meet regulations, it costs money. And those costs are passed onto consumers.  Just like Obama promised.

Now is a great time to lock-in to a low electricity rate for your business. Don’t have the time to look around? No problem. By partnering with an electricity broker company like Live Energy, we make it easy to find the best rate and plan for your business. To ask questions and know your options, give one of our certified energy advisors a call today at 877-810-7700.

Natural gas for January delivery fell 0.9 cent to $3.127 per million British thermal units on the New York Mercantile Exchange the lowest settlement price since Sept. 11, 2009. The futures have declined 29 percent this year.

The EIA reported that 102 BCF of gas was withdrawn from storage last week, compared to the market expectation of a 94 BCF withdrawal. Total storage now stands at 3.729 TCF, 5% above the same time last year.

Most weather forecasts point to warmer-than-normal temperatures for both the 6-to-10 day outlook and the 11-to-15 outlook over much of the northern half of the country and the eastern seaboard.

“It’s winter and we’re not seeing winter-like temperatures,” said Tom Saal, senior vice president of energy trading at INTL Hencorp Futures in Miami. “We just haven’t seen anything like that on a sustained basis.”

Forecasts may vary, but your business’ electricity rate doesn’t have to. When it comes to buying electricity, timing is everything. At Live Energy, we keep our finger on the market’s pulse—locking in a low rate with the right electricity provider has never been easier. For more information on how we can help you find the right electricity plan for your business, contact us at (877) 810-7770 today.

ERCOT said it should have enough generating capacity this winter to meet demand during normal and colder temperatures, even if some units go offline. But the state may need to trigger rolling blackouts this winter if extreme cold occurs and more units go offline than is normal, a risk that is “very low,” ERCOT President Trip Doggett said.

ERCOT also predicted an uptick in power demand for summer 2012 and a drop in expected generation capacity from its June forecast. ERCOT said the revision decreases the state’s projected power-reserves cushion by 5 percent in 2012, putting it below where it should be for ensuring reliability when extreme heat occurs and some generators go offline.

“We are very concerned about the significant drop in the reserve margin,” said CEO Trip Doggett.  “If we stay in the current cycle of hot and dry summers, we will be very tight on capacity next summer and have a repeat of this year’s emergency procedures and conservation appeals.”

When demand for power outstrips supply, electric rates are likely to rise. You can avoid any electric rate hikes by looking for the lowest rate now. And with the help of a certified energy advisor from Live Energy, shopping for the lowest business electricity rates has never been easier. We’ll provide a detailed comparison of current electricity offers and a whole lot more. For more information on how we can help you find the right electricity plan for your business, contact us at (877) 810-7770 today.

The settlement was the lowest since Nov. 18, when front-month futures sank to a one-year low of $3.316/MMBtu.

Thursday’s increase was attributed to the EIA’s report showing a larger-than-expected draw in natural gas inventories. Traders initially took the Department of Energy report as a sign of improving demand for gas-fired heating. The EIA reported that 20 BCF of gas was withdrawn from storage last week, compared to the market expectation of a 12 BCF withdrawal. Total storage now stands at 3.831 TCF, 8.7 percent above the 5-year average.

Natural gas futures typically rise into the winter months as gas-fired heating demand surges with colder weather. But high production across the U.S. combined with above-average temperatures pushed supplies to record levels. The situation has kept a lid on futures prices, which have traded near 10-year lows for this time of year.

Prices are expected to begin moving higher as winter weather sets in, but few expect a surge into next year.

In other energy news…This morning, ERCOT trades for this weekend’s and Monday’s peak hours went through in the upper $20’s while off peak trades went through in the mid $20’s. Peak load for this weekend is expected to be about 37,000 MW, and Monday is expected to be about 39,000 MW. For the next couple of weeks, high temperatures throughout most of ERCOT are forecast to be mainly in the 40’s and 50’s while occasionally reaching into the 60’s. Forward heat rates were fairly flat today.

If you haven’t had a chance to shop around for the lowest business electricity rate, what are you waiting for? Now is a great time to look into your options before the heating season ramps up and the demand for gas-fired heating causes prices to rise. With the help of a certified energy advisor from Live Energy, you can manage the risks and reap the rewards of buying business electricity in a deregulated market.  We’ll provide a detailed comparison of current electricity offers, and a whole lot more. For more information, call us today at 877-810-7700.

Commodity Prices ($)

Natural gas for January delivery ended the day down 12.3 cents, or 3.4 percent, at $3.461 a million British thermal units on the New York Mercantile Exchange. The January contract fell as low as $3.444 during the session, but settled even with its previous low.

Futures last week actually jumped to their highest levels since early November after a surprise decline in U.S. gas stockpiles. The U.S. Energy Information Administration said inventories fell to 3,851 Bcf as of Friday, November 25, according to the EIA’s weekly report. This represents an implied net withdrawal of 1 Bcf, the first withdrawal of the 2011-2012 winter heating season. The withdrawal was considerably smaller than both the 5-year average withdrawal of 29 Bcf and last year’s 21 Bcf draw. Stocks are now 261 Bcf and 41 Bcf above the 5-year average and last year, respectively.

The regional breakdown shows that the East Region was actually the only region with a net withdrawal during the week. This net withdrawal occurred despite relatively warm weather in the East Region during the week. The West and Producing Regions built by 2 Bcf and 14 Bcf, mostly offsetting the draw in the East Region. All three regions remain well above average levels, but the Producing Region stands out at 159 Bcf (14 percent) above average.

Forecasts may vary, but your business’ electricity rate doesn’t have to. When it comes to buying electricity, timing is everything. At Live Energy, we keep our finger on the market’s pulse—locking in a low rate with the right electricity provider has never been easier. For more information on how we can help you find the right electricity plan for your business, contact us at (877) 810-7770 today.