Table of Contents
Overview
Consumer Prices Declined Substantially From 1980's
Peak Prices
Increased Price Volatility Has Become Common In The
Gas Industry
Price Volatility Is Not Always Associated With High
Prices
Natural Gas Has Been The Most Volatile Of Energy
Prices, Except For Electricity
Energy Prices Are More Volatile Than Other
Commodities
What Are The Main Drivers Of Short-term Price
Volatility?
As Stocks Move Below Normal Ranges, Prices Generally
Move Up
Storage Withdrawals In The 1996/97 Heating Season
Beginning Heating Season Stocks Have Declined Over
Time
Price Volatility Increased As Beginning Heating
Season Storage Levels Declined
Residential Prices Do Not Reflect The Volatility Seen
In Wellhead Prices
In 1996/97, Residential Gas Prices Moved Well Above
Year Earlier Levels
Residential Gas Consumers Used Less, But Paid More In
1996/97
Price Hedging Does Not Eliminate All Risk For Market
Participants
Residential Customers Can Benefit From Effective
Information Programs
Summary |
Author: Joan Heinkel and William Trapmann Home
Page: www.eia.doe.gov |