OREANDA-NEWS. The share of natural gas in New England's generating fuel mix rose since the end of the winter but it remains below levels recorded three years ago.

Natural gas' share in regional electricity output averaged 39pc in March and rose to 42pc on 1-12 April, Independent System Operator data show. That compares with a 28pc share in March 2014. Gas burn for power generation in absolute terms increased by 34pc year over year.

Gas generation displaced both nuclear and coal plants last month compared with a year earlier. The share of nuclear generation dropped to 35pc in March from 39pc a year earlier while coal's share shrank to 8pc from 14c.

Natural gas was the primary marginal fuel in the grid. Spot natural gas prices at Algonquin Citygates fell by 42pc year over year to \$6.43/mmBtu in March. Peak New England day-ahead power prices fell by 39pc in the same period, to \$61/MWh.

Fuel economics is not the only factor behind the rising share of natural gas. New England's nuclear capacity dropped by 605MW in December 2014 when the Vermont Yankee nuclear power plant shut down. The 585MW Salem Harbor coal plant shut down in June 2014.

Few oil-fired units have been dispatched since 1 March even though that fuel was more economic for most of February, when it accounted for 10pc of total generation.

Natural gas in March 2012 accounted for 47pc of the total, as fuel prices dropped to record lows after a relatively mild winter. Gas remains the primary generating fuel in New England. But coal and oil burn on some days in winter 2014-15 rose to almost parity with natural gas, reflecting fuel economics and natural gas supply constraints.