A May 23, 2017 Bloomberg article discusses how the glut of natural gas from the Marcellus Shale has led to a massive boom in construction of new power plants. Dozens have been built in the last two years alone, adding a huge amount of power generation to a region that alredy has more than it needs. “There isn’t nearly enough electricity demand to support all the new capacity. And as wholesale electricity prices plunge, industry experts are anticipating a fire sale of scores of plants in the region. Many, in fact, have already been sold along the PJM Interconnection LLC grid, the nation’s largest, encompassing 13 states from Virginia to Illinois.” The slowdown in closures of coal-fired power plants resulting from more favorable policies under the Trump administration makes for an even bigger glut of power plants.
Yet despite decreasing demand for power and more power plants than needed, Dominion continues to insist it needs the ACP to meet increasing demand.