OREANDA-NEWS. Natural gas use soared in Texas' primary power grid in March, supplanting coal-fired generation which dropped to the lowest level in more than a decade as NRG Energy worked to install environmental controls at several units.

Coal's share of the fuel mix in Electric Reliability Council of Texas (ERCOT) territory plunged to 22pc last month from 38pc in March 2014, the lowest percentage of ERCOT generation since the grid agency began publishing monthly data in 2002. Coal burn in absolute terms fell by 40pc, to the lowest monthly level since before 2002.

But coal use should rebound by summer after NRG Energy completes upgraded environmental controls at six coal-fired units, totaling 4,200MW, and seasonal maintenance at other plants.

"Our coal units are well-scrubbed and relatively young," NRG official David Knox said. "They will continue to be part of the NRG fleet supporting ERCOT."

Gas' share of ERCOT's fuel mix soared to 54pc in March, the highest since August 2006, and up from 35pc in March 2014. Gas prices last month averaged about \$2.80/mmBtu at the Houston Ship Channel, down by 44pc year over year. Actual gas burned for power generation was up by 59pc from a year ago.

March wind output in ERCOT fell by 31pc year over year, easing to 9pc of the fuel mix from 14pc. Nuclear energy accounted for 15pc of the fuel mix, up from 13pc.

March ERCOT power production was 25.4GWh, up by 2.7pc from a year earlier. For the first three months of 2015, ERCOT power production is running 2.1pc ahead of 2014's record consumption.

Peak day-ahead prices at the ERCOT North hub in March averaged \$31/MWh, down by 39pc on the year.