In today’s deregulated markets, properly structuring energy supply contracts can set you apart from the competition. From least cost supply to minimizing inherent and residual risks, structured contracts can deliver profits and lock in margin. In this course we take a look at the fundamental concepts, tools and best practices used by wholesale and retail natural gas and electricity structuring departments nationally. We demonstrate practical methods for cost discovery, price forecasting, hedging and risk management from the specific deal through the impact on the portfolio.
o The link between physical assets, operational
protocols and financial commodity
markets and the need for structured transactions
o How to value renewable energy portfolios
o The difference between intrinsic value and
extrinsic value and how energy companies trade around assets
o Measuring the risks of wholesale and retail
supply contracts
o How to hedge complicated transactions and lock
in margin
Foundations of
Structuring
o The Organization, Infrastructure and Accounting of Supply
o Scheduling and Operations of Physical Supply
o Contracts, Accounting and Finance
o Uncertainty, Risk and the Statistics of
Structuring
o Markets and Hedging for Managing Risk
o Deal Capture and Compliance
Principles of
Structuring Renewable Portfolios
o Building the Business Case for Energy Storage
o Renewable Portfolio Standards and Wind Energy and Photo Voltaic
o Distributed Generation and “Net Zero“ Energy Communities
o The Future of Electric Vehicles and the
SmartGrid
Principles of
Structures Electricity Contracts
o Wholesale Electricity Structuring
§ Bulk Energy Contracts and Power Plants
§ Tolling Contracts
§ Renewable Portfolio Contracts
o Provider of Last Resort
§ Wholesale Portfolios and Bidding
§ Managing Migration Risk
o Retail Electricity Structuring
§ The role of aggregators
§ Valuing Consumer Volumetric Risk
§ Pricing Retail Adders
§ Contractual Issues
o Electricity Hedging
o Deal Capture, and Account Rules
Principles of
Structured Natural Gas Contacts
o Categories of Structured Natural Gas Contracts
§ Industrial Supply
§ Electric Power Generation Supply
o Cost Components
§ Physical Gas
§ Transportation
· Locational pricing
§ Fuel Charge
§ Operational Charges
§ Natural Gas Storage
· Eastern Market Daily Balancing
· Western Market Monthly Balancing
· Operational Flow Orders (OFO)
· Hedging with Storage
o Natural Gas Hedging
Full Course Description