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S&P to apply stress test to power firms

In a report published last month, S&P analyst Tobias Hsieh said many energyproviders have failed to recognise the risks inherent in requirements obligations.These contracts are typically fixed-price, but always variable-volume power salescontracts that have become a risk-management tool for many load-serving entities.Load-serving entities, such as local distribution companies or co-operatives,use these contracts to shift volume and price risk to a third-party energy provider.

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CRO interview: Brett Humphreys

Brett Humphreys is head of risk management at environmental markets specialist Karbone. He talks to Energy Risk about the challenges of modelling outcomes in unpredictable times and how he’s approaching the risks at the top of his risk register

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