European Power Market Participants Challenged by Lack of Transparency in German CHP Plant Production According to Genscape

Complimentary White Paper Explores Market Efficiency Solutions Available Through a Modeled Approach That Utilizes Proprietary Technology

  • Share on TwitterShare on FacebookShare on Google+Share on LinkedInEmail a friend

Amsterdam (PRWEB) April 10, 2014

Genscape, the leading global provider of real-time data and intelligence for commodity and energy markets, today published a white paper on the subject of “How Transparency in German Combined Heat & Power (CHP) Plant Production Impacts Trading.” The paper addresses what factors have led to the lack of transparency in German CHP production, the key issues that led to the current situation and what can be done to bring about change.

Using extensive qualitative and quantitative analysis, compiled by Genscape’s team of experts, the paper finds that CHP generation does not participate in the power markets the way conventional generation does, since many of the units are of a lesser size or are owned and operated by local municipalities. Therefore, regular disclosure of any kind of unit-by-unit availability isn’t requested or expected by regulators. As a result, market participants are not able to incorporate CHP production data in trading strategies and analysis, leading to challenges in accurate price determination and forecasting.

The paper shows that fundamental analysis of power price can be very sensitive to CHP power production and offers the following recommendations:

1.    Use of CHP production data in price determination demonstrates a need for increased transparency for market participants.
2.    Genscape’s monitor and model solutions provide real time data on CHP power production, giving a better understanding of fundamental power supply as short term markets trade.
3.    This supplementary information can fill the transparency void and improve market awareness and efficiency.

The white paper is available in English and German and is available to view at: http://info.genscape.com/german-chp-press.

About Genscape
Genscape is the leading global provider of real-time data and intelligence for commodity and energy markets, driven to improve market transparency and efficiency. With thousands of patented monitors strategically deployed worldwide, Genscape is unique in its ability to collect and report proprietary market fundamentals in real-time or near real-time. Genscape delivers innovative solutions across a number of asset classes including: Oil, Power, Natural Gas and LNG, Agriculture, Petrochemical and NGLs, Maritime, and Renewables. Genscape clients often gain first-mover advantage, improve risk management, or increase operational efficiency. For more information, please visit: http://www.genscape.com.

For further media information, please contact:
M-PR Consulting, London:
Michael Mervyn-Jones, michael(at)m-prconsulting(dot)com
Joe Worthington, joe(at)m-prconsulting(dot)com


Contact

Follow us on: Contact's Google Plus