Markets In Focus: Electricity Financial Markets

overview

This entry-level workshop outlines the basics of how the financial markets in electricity derivatives work, examining the financial products available for managing risks arising from the spot market

By learning the basics of the spot market and how risk arising in this market can be managed via financial market products, you will gain an appreciation of how these two areas interact. The workshop will also identify typical participants and the drivers of their participation, and explain the financial market deal cycle. Finally, it will examine current trends, particularly in regulation, and their potential impact on the market.

Who is it for?

This course will be of particular value and relevance if you are new to a role that exposes you to financial markets in electricity or work for a spot market participant in a technical, operational or administrative  role but would like to build a better understanding of how this market operates.

What will you learn?

Participating in this workshop will equip you to:

• discuss the electricity physical market, including market structure and participants, regulation, spot market pricing and spot market risk.
• explain the core purpose of electricity financial markets, their structure and participants
• discuss the features of electricity derivatives used to manage the risk experienced by market participants, and undertake some basic calculations to see how they work
• explain the mechanics of deal execution to settlement
• examine the impact of regulatory reform on this market, emphasising current developments.

ABOUT THE SPEAKERS

Energy Edge Pty Ltd

Tim Dutton, Director - Trading and Compliance
Nick Denman, Director - Risk and Analytics
Dr Elliot Tonkes, Senior Risk Consultant