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Electric Power Markets: Southwest

Southwest Electric Regions  
2007 Southwest Electric Regions  

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    States covered: All or most of Arizona, New Mexico, Colorado and parts of Nevada, Wyoming and South Dakota.

    Reliability region: Rocky Mountain Power Area (RMPA) and Arizona/New Mexico/Southern Nevada Power Area (AZNMSNV) sub-regions [WECC subregions map PDF] of the Western Electric Coordinating Council (WECC) [NERC regions map PDF]

    Balancing authorities: List PDF |WECC balancing authority map PDF

    Hubs: Four Corners, Mead, Palo Verde

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    Marginal fuel type: Natural gas

    Generating capacity: 45,459 MW (2005)

    Capacity reserve: 8,940 MW (2005)

    Reserve margin: 24% (2005)

    The region has a surplus of generating capacity, with much of the generation in Arizona and the Four Corners area. Transmission capacity to the California market is often fully utilized in the high load periods of the summer. In 2005, the regional reserve margin decreased from 2004 as demand growth outpaced supply additions.

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    Peak demand: 36,519 MW (2005)

    Peak demand growth: 3.5% (2005–2004)

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    Annual Average of Daily Bilateral Day Ahead On-Peak Prices

    Platts "Palo Verde" Index
    2004: $50.09/MWh
    2005: $67.39/MWh
    2006: $57.59/MWh
    2007: $61.74/MWh

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    Generation suppliers export excess power to the rest of the West and particularly to California.

Updated: February 26, 2015