Operational risk
The future of ETRM
As generation, trading and retailing companies come out from under the dark cloud to prepare for what looks to be a brighter future, one issue has become critical – the need to upgrade outdated ETRM systems with 21st century architecture, portfolio…
A dark futurefor clearing
Clearing was the energy buzz word of early 2003. But as Clearing Bank Hannover goes into liquidation and the future of EnergyClear’s business remains uncertain, it seems energy clearing has lost its appeal. By Paul Lyon
Blackouts spark supply debate
The world’s energy regulators met in Rome last month, days after the Italian blackout on September 28. Perfect timing, it would seem – but what are the regulators going to do about Europe’s bottlenecked grid? Paul Lyon reports
Tech for gas turmoil
An adaptable straight-through processing system is crucial if natural gas marketparticipants are to stay profitable despite continuing price volatility, saysOpenLink International’s Jean-Claude Riss
Russian roulette
European and US oil companies are tipped to be big investors in Russia’s oil market. But while rewards could be great, any decision to invest in thecountry will be fraught with difficulties. Paul Lyon reports
Refining systems for oil trading
The increasing complexity of the crude oil business – on both the physical and financial side – means companies in the sector need fast-changingand flexible software to manage their operations. CliveDavidson reports
Energy firms face “crunch time” for accounting compliance
Professional services firm PricewaterhouseCoopers (PwC) says time is running out for energy and utility companies to get to grips with the pending implementation of the International Financial Reporting Standards (IFRS).
Rothschild enters oil risk sector
Heading the senior team is Martin Fraenkel, previously managing director of JPMorgan Chase's global commodities group in London. Fraenkel has recruited hissenior team from outside Rothschild. KamalInvestment bank Rothschild has entered the oil risk…
Operational and market risks of a regulated power utility
Victor Dvortsov and Ken Dragoon present an analytical method for including market and operational risks when estimating utility portfolio value-at-risk
Measuring the value of clearing
Central clearing houses offer major advantages to the electricity trading industry, says UK Power Exchange’s Paul Danielsen. He sets out a practical example to demonstrate how UK power firms can benefit from clearing
US gas squeeze hits power
Tight natural gas supplies in the US are adding to worries over reliability of electricity supplies, says Richard McMahon of the Edison Electric Institute
Breaking down the model
Brett Humphreys and Andy Dunn outline a method to help energy companies minimise potential model risk and thereby avoid costly errors in valuing deals
Chicago Mercantile Exchange to list European weather contracts
The Chicago Mercantile Exchange (CME) has started offering European weather derivatives, referenced on five cities’ temperatures.
Barrier to entry
Bank of America and UBS are still trying to overcome obstacles that could prevent them entering physical power trading in the US. Federal Energy Regulatory Commission regulations represent the biggest obstacle. Paul Lyon reports
Pieter Verberne
Pieter Verberne, Amsterdam PowerExchange’s (APX) chief operatingofficer, is a busy man. The Dutchexchange is finalising the technologyupgrading of its recent acquisitions, naturalgas exchange Enmo and Automated PowerExchange, both based in the UK. It is…
US body calls for electricity reliability organisation
The Edison Electric Institute (EEI) says the creation of an electricity reliability organisation with regulatory oversight is vital for developing and enforcing mandatory reliability rules and standards for US power sector participants.
Switching off to save cash
High electricity price volatility over the European summer has raised awareness of interruptible power contracts, finds James Ockenden
Enron files complaint against six of its former banks
Houston-based Enron last month filed a court complaint against six of its former banks, claiming they gave bad financial advice that contributed to its demise in late 2001. As a bankrupt company, Enron is required to try to recover as much as it can for…
Farms weather power shortages
Farmers in both hemispheres are struggling to cope with heat waves and droughts while pondering the prospect of future power supply disruptions, finds Maria Kielmas
Getting it together
Data consolidation is now a vital foundation to any successful risk management implementation, as Dave Rose and Stuart Cook of The Structure Group report
Hedge out on the highway
US haulage firms seem to be making little use of risk management tools to mitigate high fuel prices. But parcel carriers are taking the initiative, finds Kevin Foster
System-ready for Sarbanes-Oxley
Energy companies are not alone in having to review their operations to comply with the Sarbanes-Oxley Act. Energy software suppliers, too, are looking at their systems, although most are confident they are already well prepared, finds Clive Davidson