Develop the concept for risk management services Houston with S-curve

Energy supply companies and energy traders operate in uncertain markets – an environment in which the risks control in all business areas is of great importance. It is essential not only to secure your own margins and economic success but also to meet legal requirements. With our risk manual for energy procurement/trading, generation and sales, you create more transparency about your risks. Above all, however, more opportunities to look into a clearly more secure future with efficient risk management.

In deregulated energy markets, the government no longer sets the price ranges but rather the supply and demand laws, rules, and regulations. Wholesale markets and industries progress via Over-The-Counter marketplaces (OTC) and exchanges. Energy producers and suppliers work or trade with a forward basis on the spot, agree with prices for coming days, months, quarters, years, and decades. Moreover, attempts at forecasting the energy costs and prices have proven beneficial because:

  1. Numerous factors are co-influencing each other.
  2.  Missing a few key figures on supply and demand.
  3.  Unexpected mishaps occur.

Our experts providing risk management services in Houston will also support you in drawing up a company-wide framework risk guideline and ascertaining all risks within the company. Thus, your municipal utility sets basic premises for the implementation of risk management, such as risk-bearing capacity, risk management processes, and risk reporting. The risk manual for the energy industry can be based on the provisions of the Risk Framework Directive.

What is the risk manual?

risk management services Houston

Actually, the risk manual has an entirely wrong name. Because, strictly speaking, it is the enemy of risk. In a risk manual developed together with us, a risk management concept is developed for your energy company that illuminates all known risk factors in energy procurement, trading, energy sales, and generation and defines reaction patterns when these factors occur.

On this basis, you identify risks in a defined and practiced risk management process, control them with suitable methods and define processes when unforeseeable events occur. In this way, the company paves the way for achieving the planned goals.

We recommend carrying out an event-oriented review (e.g., reorganization, market changes, practical experience) or annually up to every two years. Your energy company always applies a risk management concept adapted to the current company situation and the market and risk situation.

The basis for security – A holistic view of risks

  1. The structured and efficient design of risk management, including financial and corporate planning
  2.  Elaboration of a holistic, requirement, and target-oriented risk management concept (risk manual).

Modular in structure

  1. Risk manual tailored to the customer, considering relevant factors such as sales volume, delivery areas, wholesale affinity, balancing group management, or risk profile.
  2.  The lean solution doesn’t require any prior knowledge.
  3.  Designed for quick and targeted additions and updates.
With experience and a market view
  1. Best practice and extensive industry expertise at municipal utilities.
  2.  Profound know-how, many years of market experience, and application of market-proven and individual concepts and key figures.
  3.  Support from the in-house Scurve modeling department.
Simplification of exam situations