Energy transition
UK power market licence changes ‘no silver bullet’
Ofgem’s moves to increase electricity market liquidity for small suppliers are a step in the right direction, but more must be done, argue market participants
Energy firms beg CFTC for clarity on commodity options
Utilities, oil producers and trading firms are urging the CFTC to issue clarification on contracts with embedded volumetric optionality
Power market coupling could spur derivatives activity
Market coupling may result in greater derivatives use and falling participation in both explicit auctions and physical nominations, survey finds
Firms expect power market coupling to have tangible impact
The process of power market coupling is continuing across Europe, with the largest and most ambitious project to date going live in February. But how do market participants feel about market coupling and how it will affect their businesses? Stella…
Conference highlights questions over Remit implementation
Problems encountered by Emir demonstrate issues that need to be solved before Remit reporting begins, argue attendees at Energy Risk Italia
Applied risk management series: Active VAR management
In this article, Carlos Blanco introduces a set of tools to assist traders and risk managers in actively managing the value-at-risk of energy derivatives portfolios
CFTC no-action letter could end public utilities' hedging woes
CFTC exempts ‘utility operations-related swaps’ from contributing towards $25 million special entity threshold under Dodd-Frank
Renewables need stronger EU co-ordination, says regulator
Senior Italian regulator says transition towards greater use of renewables requires a “co-ordinated European approach”, including harmonised market rules
Polar vortex revives interest in gas and power hedging
A brutally cold winter in the eastern US has roiled natural gas and power markets and shocked energy consumers that had grown accustomed to cheap, abundant shale gas. Such firms are now hedging more actively, Alexander Osipovich finds
Gulf War and supercycle are career highlights, says Saperia
Since Nigel Saperia first began working as an oil trader at Shell in 1976, the business of trading oil has been transformed. He speaks to Mark Pengelly
Energy Risk marks 20 years of covering energy markets
Energy Risk was first published back in February 1994. Since then, its fortunes have risen and fallen with those of the wider energy risk management industry. Mark Pengelly reflects on the highs and lows of the first 20 years
Renewables risk derailing benefits of EU power integration
Renewable subsidies and capacity payments threaten to quell advantages brought about by European electricity market coupling, complain industry participants
Renewables subsidy shift brings opportunity for energy firms
Germany began encouraging renewable generators to directly market their own production in 2012, reflecting a trend of giving renewables greater exposure to wholesale markets across Europe. That could spell an opportunity for more well-established energy…
FTR underfunding leaves PJM power traders out of pocket
Energy firms in the eastern US are upset about the underfunding of financial transmission rights (FTRs) in the PJM power market, saying it has made FTRs useless as a hedging tool. But even though its price tag has exceeded $1 billion, the problem shows…
Renewables and power markets must be brought together
Fixed feed-in tariffs have produced heavy increases in the volume of electricity generated via renewables, but their continued existence diminishes the strength of price signals in European power markets. Steffen Köhler puts forward a different approach
Looking back: Post-Enron nerves give way to longer-term fears
By January 2002 – just one month after US energy giant Enron filed for bankruptcy – the more lasting implications were becoming clear in the pages of Energy Risk
Morgan Stanley reshuffles oil liquids business amid Rosneft acquisition
Morgan Stanley names commodities CRO Nancy King as head of oil liquids business, while promoting former deputy Brett Humphreys to post of commodities CRO
PetroChina recruits BAML natural gas trader
Rapidly growing US unit of Chinese state energy giant PetroChina expands into financial natural gas trading with new hire
Power trading firm blasts Ferc over manipulation probe
Ferc investigation triggers unusual public defence by obscure power trading firm
More US oil producers hedging with non-WTI crudes
Increased volatility pushes oil producers to hedge with LLS, WCS and other regional crudes
Coal derivatives market fosters burning ambition
Increased attention from both traders and hedgers is providing a boost to the coal derivatives market, say participants, fuelling the success of the API 8 index linked to Chinese coal imports and stimulating further product development efforts elsewhere…
Coal derivatives market fired up by new participants
Commodity traders and physical producers move into coal derivatives as major banks retreat
Global Advisors’ Masters looks ahead to commodity rebound
Daniel Masters, the former head of energy trading at JP Morgan and co-founder of hedge fund Global Advisors, has seen his share of ups and downs. Alexander Osipovich reports
Off-the-shelf ETRM software taking off, survey reveals
Off-the-shelf energy trading and risk management (ETRM) systems are more popular than ever before, according to Energy Risk’s annual software survey. However, companies say they still require significant customisation and rarely meet all their ETRM needs…