Physical power trading refers to purchasing and selling power between participants in the energy industry. Power is traded on different marketplaces which are characterized by the power delivery time frame and the form of the transaction. To get the most of your energy trade, you need scheduling and transmission software that offers an ideal power trading platform.
Power trading isn’t a new development in the energy industry. One of the earlier forms of power trading was witnessed in 1980 when Chile privatized its power industry. Other countries like Argentina also followed suit; the major aim was to create a market that is driven by competition.
Power trading refers to the purchasing and selling of power between participants in the energy industry. There are various forms of power trading that are possible. However, it all depends on the market design, ranging from short-term trading to long-term power purchase agreements.
Today’s power companies and utilities must deal with unprecedented volatility in power prices, complex transmission networks, and evolving regulatory requirements. Sudden swings in power prices impair forecasts and negatively impact bottom lines. Volatile transmission costs decrease profitability.
Power is traded on different marketplaces, but generally, the power delivery timeframe and the form of the transaction characterize how the marketplaces are defined. Since power cannot yet be stored in large quantities, power trading is executed by using either short-term trades or long-term agreements.
Generally, power is traded in different types of marketplaces. Some of which include:
Power Trading is beneficial to both to power sellers and buyers. Some of these benefits include:
Some of the major trends that are affecting how power trading occurs include:
With new regulations developed and the increased use of the blockchain network for power trading, power buyers and sellers have a system that reduces fraud and increases transparency.
EnHelix has a full suite of power trading and transmission modules that are beneficial to the most complex power trading agencies. It provides solutions for power generation, transmission and distribution and covers a range of commodities, emissions and derivatives. With the EnHelix software, you get an integrated solution that offers interfaces that allow us to connect your complex value chain. This way, we are able to manage your business operations by via integrated operations easily, increased business visibility and reduced IT costs.
The EnHelix software is an excellent scheduling and transmission software that supports end-to-end power value chain from power generation through the transmission to distribution and retail. It was designed for power generating companies in both regulated and deregulated markets, so it supports the wholesale and retail aspects of the power business.
It supports natural gas storage and transportation for power trading, possesses excellent scheduling tools and scheduling systems which enable traders to track scheduled volume via daily nominations. In addition, this power ETRM greatly support natural gas and power economics modelling, asset development and engineering capital projects.
It integrates with operations for measurements and alerts, thus providing actionable insights that drive your business growth. The EnHelix software is essentially a power ETRM that provides a global view of your entire natural gas and power business and risks. This enables you to make sound business decisions that enhance productivity and drives business growth. It is also a powerful trading platform that provides a secure and singular system which lowers cost and improves the productivity of your business concern.