ENERGY RISK MANAGEMENT

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ELECTRICITY

Energy Paradigm helps multi-site entities manage electricity price risk in deregulated markets. We utilize our knowledge of power markets to assess both short and long-term market conditions to enhance our clients financial positions. 


Our Approach

  1. Evaluate opportunities in every market to reduce enterprise-wide electricity costs.
  2. Business case analysis comparing utility rates against competitive offerings to optimize annual energy spend.
  3. Determination of annual energy budget and assessment of risk profile to manage market volatility.
  4. Opportunity assessment of savings, suppliers, contract terms, and product structures to tailor the appropriate solution.
  5. Execution of supply agreements and ongoing management of changes in the market to reduce costs. 

PRODUCT STRUCTURES

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Fixed Price - ​negotiated fixed cost per kWh for budget certainty 


Index Priced - ​priced based upon wholesale clearing market. Weighted average cost approach with seasonal fluctuation historically lower than retail prices. 


Block +Index Priced Structure - ​provides flexibility to purchase fixed cost per kWh for historically high-priced periods and float remaining load on wholesale clearing market.


Heat Rate Products - ​allows you to float electricity load based upon natural gas prices, but the flexibility to lock fix price during market downturn 


Managed Products - ​gives you the opportunity to actively manage electricity portfolio by blending index, heat rate, and wholesale block pricing.