The 2017 New York ISO installed capacity auction yielded an $11.71/kW-month price for the summer strip 2017 in New York City, up from $10.99/kW-month in the 2016 auction, its lowest point since 2009.

According to results posted April 4 by the New York ISO, the latest installed capacity auction for the summer strip also saw a price of $10.50/kW-month for the Lower Hudson Valley's G-J locality, $5.79/kW-month for Long Island and $3.00/kW-month for the Rest-of-State, or RoS, region.

In 2016 the New York ISO installed capacity summer strip auction saw a price of $8.25/kW-month for the G-J locality, $4.15/kW-month for Long Island and $3.62/kW-month for the RoS region.

In New York the summer strip auction, or summer capability period auction, is held at least 30 days prior to the capability period, which runs from May through October for the summer capability period and from November through April for the winter capability period.

Following an update to auction parameters at the end of March, for the summer strip 2017 auction, equities analyst Julien Dumoulin-Smith at UBS Securities LLC projected a price of about $9.94/kW-month for New York City and $3.05/kW-month for the RoS region, citing uprates and new capacity additions as catalysts for prices to likely move lower.

However, other analysts, like those from PA Consulting, in mid-March, had anticipated higher clearing prices for the summer strip auction of about $11.70/kW-month for New York City, $10.78/kW-month for the G-J locality and $5.15/kW-month for the RoS region.

In terms of megawatt-days, summer strips in New York City cleared the latest auction at about $385.00/MW-day, while Zone G-J cleared near $345.50/MW-day, Long Island cleared at around $190.25/MW-day and RoS cleared near $98.60/MW-day.

By comparison, ISO New England's eighth Forward Capacity Auction held in February 2014, which covered the capacity commitment period of June 1, 2017, to May 31, 2018, three zones representing much of New England, cleared at a price of $3.15/kW-month, or about $103.50/MW-day.

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