energy hedging & risk management glossary
TRANSCRIPT
-
8/7/2019 Energy Hedging & Risk Management Glossary
1/17
Eherly Fedlkhl& _ksc Mbhblemeht LgissbryB `imprefehskve siur`e ia khairmbtkih air bhyihekhvigved kh eherly fedlkhl bhd rksc mbhblemeht.
-
8/7/2019 Energy Hedging & Risk Management Glossary
2/17
?
B``umugbtkih-
ers, wfi b``umugbte tfe immidkty tfey bre trbdkhl.
Bmerk`bh Ptyge Iptkih-
Bh`kggbry Pervk`esBhy servk`e requkred oy b system iperbtir ti degkver
kh`gude obgbh`khl servk`es, gibd aiggiwkhl, ir privkd-
BZK
BroktrbleTfe skmugtbheius pur`fbse ia b `immidkty/derkvb-
Bskbh Iptkih (Bverble Zrk`e Iptkih)
Bssi`kbted Lbs (wet lbs)
Hih-bssi`kbted lbs, ir dry lbs, ks hbturbg lbs tfbt
i``urs ih kts iwh.
Bt-Tfe-Mihey Iptkih (BTM)
tfe `urreht prk`e kh tfe uhdergykhl mbrcet
O
Ob`cwbrdbtkihB mbrcet wfere tfe prk`e air hebroy degkvery ks fklfer
tfbh air aurtfer airwbrd mihtfs. Tfe ippiskte ia ob`c-
ObrleQesseg `brrykhl ikg, usubggy ih rkvers, `ihtbkhkhl oe-
tweeh 6,::: bhd 5:,::: oog, ir weklfkhl 2,::: ti
2:,::: tihhes. Kh tfe UP, obrles `bh oe up ti, bhd
i``bskihbggy iver, 2::,::: oog kh `bpb`kty.
ObrregB vigumetrk` uhkt ia mebsure air `rude ikg bhd petri-
geum pridu`ts. 2 obrreg ks 4? UP lbggihs.
B
Eherly Fedlkhl& _ksc Mbhblemeht LgissbryB `imprefehskve siur`e ia khairmbtkih air bhyihekhvigved kh eherly fedlkhl bhd rksc mbhblemeht.
-
8/7/2019 Energy Hedging & Risk Management Glossary
3/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
0
Obse GibdTfe mkhkmum bmiuht ia ege`trk` piwer degkvered ir
requkred iver b lkveh perkid ia me bt b stebdy rbte.
Tfe mkhkmum `ihhuius gibd ir dembhd kh b piwer
system iver b lkveh perkid ia me
Obse Gibd ZgbhtB pgbht hirmbggy iperbted ti tbce bgg ir pbrt ia tfe
mkhkmum `ihhuius gibd ia b system, bhd wfk`f
`ihsequehtgy pridu`es ege`trk`kty bt bh essehbggy
`ihstbht rbte. B obse gibd pgbht typk`bggy fbs regbvegy
fklf xed `ists bhd giw uhkt iperbhl `ists. Trbdk-
ihbggy, hu`gebr pgbhts fbve oeeh `ihskdered bs obse
gibd pgbhts.
ObsksTfe dkereh`e oetweeh tfe prk`e ia b spit `immid-
kty bhd b airwbrd `immidkty3 tfe dkereh`e oetweeh
tfe prk`e ia b `immidkty bt ihe gi`bih bhd bhitfer
gi`bih.
Obsks PwbpObsks swbps bre used ti fedle expisure ti obsks rkscs,
su`f bs gi`bihbg rksc ir me expisure rksc.
OebrksfTfe oegkea tfbt tfe prk`e ks likhl ti abgg.
OkdBh khdk`bih ia wkggkhlhess ti ouy b spe`ked bmiuht
ia b `immidkty bt b spe`k` prk`e
Ogb`c-P`figesIpihs prk`khl tfeiry derkved oy Aksfer Ogb`c bhd
Myrih P`figes, obsed ih tfe tfeiry tfbt prk`e vigbg-
kty ks rbhdim briuhd b lkveh trehd.
Orktksf Tfermbg Uhkt (OTU)Tfe qubhty ia febt requkred ti rbkse ihe piuhd ia
wbter (boiut ihe pkht) ihe delree Abfrehfekt bt ir
hebr kts pikht ia mbxkmum dehskty. B `immih uhkt ia
mebsuremeht air lbs prk`es. 2:04 Otus = 2 `uok` aiit.
Bh MMOtu (-mkg Otus) ks riulfgy equkvbgeht ti b M`a (b
tfiusbhd uok` aeet).
OuggksfTfe oegkea tfbt tfe prk`e ks likhl ti rkse.
Ourher-TkpTfe pikht bt wfk`f hbturbg lbs ks used bs b aueg.
@
@bgg IptkihBh ipih tfbt lkves tfe ouyer (figder) tfe rklft out
hit tfe iogklbih ti ouy b spe`ked qubhty ia bh
uhdergykhl autures `ihtrb`t bt b xed prk`e, ih ir
oeaire b spe`ked dbte. Tfe lrbhtir ia tfe ipih ks
iogkled ti degkver tfe auture bt tfe xed prk`e ka tfe
figder exer`kses tfe ipih
@bpb`ktyTfe piwer iutput rbhl ia b leherbtir, typk`bggy kh
melbwbs, mebsured ih bh khstbhtbheius obsks.
@bsf bhd @brryBh broktrble trbhsb`ih khvigvkhl tfe skmugtbheius
pur`fbse ia b `bsf `immidkty wktf oirriwed mihey
bhd tfe sbge ia tfe bppriprkbte autures ihtrb`t.
@bsf MbrcetTfe pfysk`bg mbrcet uhdergykhl b autures ir ipihs
`ihtrb`t.
-
8/7/2019 Energy Hedging & Risk Management Glossary
4/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
4
@bsf PettgemehtTfe segemeht ia autures ir ipihs oy pbykhl b
`bsf dkereh`e, rbtfer tfbh tbckhl/mbckhl pfysk`bg
degkvery.
@fbhhegGkce kt siuhds b `fbhheg kh wfk`f prk`es bre mivkhl.
Zbrbggeg trehd gkhes bre drbwh bgihl tfe giws bhd fklfs
ia b prk`e `fbrt, airmkhl b `fbhheg kh wfk`f prk`es
mive. Tfe trehd gkhes airm brebs ia suppirt bhd resks-
tbh`e. Depehdkhl ih tfe trehd, tfe `fbhheg `bh oe b
diwh `fbhheg ir bh up `fbhheg.
@KA@ist, khsurbh`e bhd areklft `fbrles air sfkppkhl
pridu`ts.
@kty-LbteZfysk`bg gi`bih wfere lbs ks degkvered oy b pkpegkhe
ti b gi`bg dkstrkouih `impbhy.
@gebrkhlTfe pri`ess ia mbt`fkhl trbdes, segkhl trbdes bhd
privkskih ia b lubrbhtee air trbded `ihtrb`ts, ieh b
servk`e perairmed oy ex`fbhles
@gebrkhl AeeB aee fbrled oy b `gebrkhl fiuse air gebrkhl trbdes
@gise IutAkhbgkzkhl b trbhsb`ih oy mbckhl bh equbg bhd
ippiskte trbde ti bh ipeh piskih
@HL@impressed hbturbg lbs, bh butimive aueg.
@ileherbtkihTfe pridu`ih ia oitf ege`trk`kty bhd useaug tfermbg
eherly arim tfe sbme eherly siur`e. Hbturbg lbs tehds
ti oe b abvired aueg air `imokhed-`y`ge `ileherbih
uhkts, kh wfk`f wbste febt ks `ihverted ti ege`trk`kty.
@imokhbtkih FedlkhlB rksc mbhblemeht strbtely tfbt uses b `imokhbih
ia fedles uskhl dkereht derkvbve khstrumehts
@imokhed @y`geTfe imokhbih ia ihe ir mire lbs turokhe bhd stebm
turokhes kh bh ege`trk` leherbih pgbht. Bh ege`trk`
leherbhl te`fhigily kh wfk`f ege`trk`kty ks pridu`ed
arim itferwkse gist wbste febt exkhl arim ihe ir
mire lbs (`imousih) turokhes. Tfe febt ks riuted
ti b `ihvehihbg oikger ir ti b febt re`ivery stebm
leherbtir air use oy b stebm turokhe kh tfe pridu`ih
ia ege`trk`kty. Tfks pri`ess kh`rebses tfe e`keh`y ia
tfe ege`trk` leherbhl uhkt
@imokhed Febt bhd Ziwer (@FZ)Ziwer pgbht, usubggy emoedded, wfk`f pridu`es oitf
ege`trk` bhd tfermbg eherly kh tfe airm ia stebm.
@ihlestkih\feh prk`es trbde bt skmkgbr gevegs iver b perkid ia
me, tfe `fbrt oe`imes `guered wktf ouskhess
bt tfese gevegs bhd ks reaerred ti bs `ihlested.
@ihlesih brebs bre ieh seeh bs privkdkhl suppirt/
reskstbh`e. Tfey bre tfe gevegs bt wfk`f, rbtfer tfbh
orebckhl khti hew lriuhd, prk`es tehd ti oil diwh
bhd oe`ime trbpped.
@ihsigkdbtkihZrk`es mivkhl kh b oribdgy skdewbys rbhle ber b
sfbrp mive kh ihe dkre`ih. Ka tfe prk`es fbve rkseh
sfbrpgy, tfe lbkhs bre `ihsigkdbted, ieh air severbg
dbys ber tfe mbnir mive.
-
8/7/2019 Energy Hedging & Risk Management Glossary
5/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
5
@ihtbhliMbrcet sktubih wfere prk`es bre fklfer air airwbrd
degkvery dbtes tfbh air hebrer degkvery dbtes. Ippiskte
ia ob`cwbrdbih.
@ihwby@ihwby, Cbhsbs. Tfe mbkh pripbhe trbdkhl fuo kh tfe
Mkdwest Uhkted Ptbtes.
@ivered IptkihBh ipih wrkeh blbkhst bh uhdergykhl piskih
@urve-gi`c PwbpB swbp wfk`f gi`cs tfe iuhterpbrty khti bh exkshl
prk`e regbihsfkp kh tfe airwbrd `urve, wktf tfe bkm
ia oehehl arim bhy sfks kh tfe airwbrd `urve e.l.
oetweeh ob`cwbrdbih bhd ihtbhli
@usfkhl@usfkhl, Icgbfimb. Tfe degkvery pikht air H[MEV
\TK rude ikg autures.
@rb`c PprebdTfe sprebd dkerehbg wfk`f represehts rehkhl mbr-
lkhs. Air exbmpge, ka rude ikg ks trbdkhl bt $15/OOG bhd
lbsigkhe ks trbdkhl bt ?.?5/lbg tfeh tfe rb`c sprebd ks
$?;.5:.
D
Delree DbyDelree dbys bre mebsured bs tfe humoer ia delrees
boive ir oegiw b stbhdbrdkzed temperbture ih bhy
lkveh dby. Kh wkhter, trbders trb`c febhl delree
dbys weec oy weec, ir mihtf oy mihtf, hirmbggy
blbkhst b stbhdbrd temperbture ia 15A, ih tfe obsks ia
fiw mbhy delrees ia febt bre requkred ti orkhl tfe
temperbture up 15A. Kh summer, tfe mbrcet trb`cs
`iigkhl delree dbys, wfk`f bre `imputed kh tfe
ippiskte mbhher.
DegtbTfe rbte ia `fbhle ia tfe vbgue ia bh ipih wktf
respe`t ti `fbhles kh tfe prk`e ia tfe uhdergykhl
`immidkty
Degtb FedlkhlTfe pri`ess wfereoy tfe lrbhtir ia bh ipih de`kdes
ti ouy ir segg mire ir gess ia bh uhdergykhl autures
`ihtrb`t kh irder ti prite`t blbkhst oekhl de`gbred
upih oy tfe ipihs figder. Ka degtb fedlkhl, tfe
lrbhtir ia b `bgg ipih wkgg ouy mire ia tfe autures
`ihtrb t ka kt rkses kh vbgue tiwbrds tfe strkce prk`e (bs
tfe priobokgkty ia oekhl de`gbred upih rkses tiwbrds
2::%). Tfe lrbhtir ia b put ipih wkgg typk`bggy segg
mire ia tfe uhdergykhl autures `ihtrb`t ka kt sgkdes kh
vbgue (bs tfe priobokgkty ia oekhl de`gbred upih rkses
tiwbrds 2::%)
Degtb HeutrbgB stbte wfere tfe lrbhtir ia bh ipih fbs obgbh`ed
tfe priobokgkty ia oekhl de`gbred upih tfriulf
ouykhl/seggkhl tfe uhdergykhl autures ihtrb`t.
Dembhd Pkde MbhblemehtBgg b`vkes ir prilrbms uhdertbceh oy bh ege`trk`-
kty system ir `ihsumers ti khueh`e tfe bmiuht bhd
mkhl ia ege`trk`kty use.
DemurrbleTfe detehih ir degby ia b vesseg kh gibdkhl ir uh-
gibdkhl oeyihd tfe me blreed upih. Demurrble
`fbrles bre usubggy kh`urred air bhy degby.
-
8/7/2019 Energy Hedging & Risk Management Glossary
6/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
1
Dkaaerehtkbg-
Dry LbsHbturbg lbs wfk`f dies hit `ihtbkh gkqukd fydri`br-
oihs. Lbs ks usubggy prk`ed ih b dry obsks.
E
EKB
EAZEx`fbhle ia autures air pfysk`bg> reaers ti tfe ex`fbhle
Eggkitt \bve
tfree- wbve trehd, tfe exteht bhd s`ipe ia wfk`f bre
Euripebh Iptkih
expkry. Tfese typk`bggy trbde kh tfe IT@ mbrcets.
Ex`fbhle-Trbded
su`f bs H[MEV ir K@E, wktf stbhdbrd `ihtrb`ts bhd
ruges
Exer`kse
rklfts ti tfe `ihtrb`t bhd ks degkvered b gihl (`bgg) ir
prk`e.
Dkaaerehtkbg Pwbp
Diuoge-up Pwbp
ti diuoge tfe swbp vigume oeaire tfe prk`khl perkid
prk`e. Tfe me`fbhksm oy wfk`f tfks ks b`fkeved
-
arim tfe sbge ks used ti suoskdkze tfe swbp prk`e.
DIEUhkted Ptbtes Depbrtmeht ia Eherly
Diw TfeiryTfeiry ia mbrcet mivemeht devegiped oy @fbrges
-
skve fklfer pebcs bhd fklfer triulfs kh bh uptrehd,
bhd giwer pebcs bhd giwer triulfs kh b diwhtrehd.
Diw dkvkdes trehds khti prkmbry, se`ihdbry bhd mkhir.
-
erh te`fhk`bg tfeiry.
-
8/7/2019 Energy Hedging & Risk Management Glossary
7/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
-
8/7/2019 Energy Hedging & Risk Management Glossary
8/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
6
L
LbggihTfere bre 4? UP lbggihs kh b obrreg.
LbmmbTfe rbte ia `fbhle kh degtb per uhkt `fbhle kh tfe
uhdergykhl khstrumeht.
LbsikgBh khtermedkbte dksggbte pridu`t used air dkeseg
aueg, febhl aueg bhd simemes bs aeedsti`c. Kh UP
pbrgbh`e> Hi. ? Febhl Ikg.
LbsigkheQigbge mitir aueg used kh `brs.
Leherbtkih
Tfe pri`ess ia pridu`khl ege`trk`kty oy trbhsairmkhlitfer airms ia eherly su`f bs stebm, febt ir abggkhl
wbter. Bgsi, tfe bmiuht ia ege`trk`kty pridu`ed, ex-
pressed kh ckgiwb-fiurs (c\f) ir melbwb-fiurs
(M\f).
LeherbtirB pridu`er ia ege`trk`kty, oitf gkterbggy bhd lurbvegy.
Lklbniuge (LN)B niuge ks bh khterhbihbg uhkt ia eherly dehed bs
tfe eherly pridu`ed arim ihe wb iwkhl air ihe
se`ihd. B very smbgg uhkt ia eherly, tfere bre 0-1-mkg
niuges kh b ckgiwb-fiur. Air lbs, ihe lklbniuge = :.;1
M`a uhder stbhdbrd temperbture bhd pressure
`ihdkihs.
Lriup 0Airmergy tfree rbkgribd impbhkes kh Tugsb, Icgbfimb.
Lriup 0 hiw reaers ti tfe pkpegkhe prk`e ia petrigeum
`immidkes arim Tugsb ti Mkhhesitb kh tfe UP.
F
Febd bhd PfiugdersB reversbg pberh `fbrb`terkzed oy b fklf, b fklfer
fklf, b giwer fklf, bhd b orebc oegiw tfe gkhe nikhkhl
tfe giws oetweeh tfe fklfs, tfe si-`bgged he`c-gkhe.
FedleTfe redu`ih ia rksc oy `iverkhl bh`kpbted `immkt-
mehts, kh tfe auture, tfriulf b swbp, auture ir ipih
`ihtrb`t.
Fehry FuoB pkpegkhe khter`fbhle hebr Erbtf, Giukskbhb, wfere b
humoer ia khterstbte bhd khtrbstbte pkpegkhes khter`ih-
he`t tfriulf b febder system iperbted oy Pbokhe Zkpe
Gkhe. Kt ks tfe stbhdbrd degkvery pikht air tfe H[MEV
hbturbg lbs autures ihtrb`t kh tfe UP.
Fkstirk` QigbtkgktyTfe `fbhle kh tfe bosigute vbgue ia b `immidkty ir
khstrumeht iver b `ertbkh perkid, expressed bs b per-
`ehtble ia tfe giwest prk`e re`irded kh tfbt perkid.
K
KEBKhterhbihbg Eherly Bleh`y
-
8/7/2019 Energy Hedging & Risk Management Glossary
9/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
;
Kmpgked QigbtkgktyTfe vigbgkty kmpgked oy b `ertbkh ipih prk`e.
Khdex PwbpKh tfe hbturbg lbs mbrcet kh Hirtf Bmerk`b, khdex
swbps bre ieh used ti fedle blbkhst gi`bih prk`e
rksc (b airm ia obsks rksc). Tfe segger re`ekves b xed, ir
itferwkse determkhed, prk`e bhd pbys tfe ouyer tfe
puogksfed khdex vbgue air hbturbg lbs arim b spe`ked
gi`bih
Khterruptkoge LbsLbs sigd ti `ustimers wktf b privkskih tfbt permkts
`urtbkgmeht ir essbih ia servk`e bt tfe dks`reih ia
tfe suppgker.
Khter-Mihtf PprebdPkmugtbheius pur`fbse bhd sbge ia b auture kh twi
sepbrbte trbdkhl perkids
Kh-Tfe-Mihey IptkihBh ipih wfk`f fbs khtrkhsk` vbgue. B put ipih ks kh-
tfe-mihey wfeh kts strkce prk`e ks boive tfe vbgue ia
tfe uhdergykhl autures ihtrb`t. B bgg ipih ks kh-tfe-
mihey wfeh kts strkce prk`e ks oegiw tfe vbgue ia tfe
uhdergykhl autures `ihtrb t.
Khtrkhsk` QbgueTfe vbgue ti bh ipih figder ka (s)fe were ti exer`kse
bh ipih tidby.
KZZKhdepehdeht piwer pridu`er Uhrelugbted piwer
leherbtirs wfk`f, uhgkce ugkes, fbve hi arbh`fksed
retbkg servk`e terrktirkes. Eveh b pgbht oukgt oy bh khves-
tir-iwhed ugkty ti serve kts hbve retbkg gibd ks hit bh
KZZ. Kts sgg b ugkty pgbht. Bgsi, ugkes tfbt airm bgk-
btes bhd oukgd iutskde ia tfekr terrktirkes bh oe KZZs.
C
CkgiwbttIhe ckgiwb equbgs 2::: wbs. Boorevkbtes ti c\.
Ckgiwbtt-Fiur (C\f)Tfe obsk` uhkt air prk`khl ege`trk` eherly, equbg ti ihe
ckgiwb ia piwer suppgked `ihhuiusgy air ihe fiur
(ir tfe bmiuht ia ege`trk`kty heeded ti gklft teh 2::-
wb gklft ougos air ihe fiur). Ihe c\f equbgs 2,:::wb-fiurs. Ihe c\f = 0.0:1 `u ia hbturbg lbs.
G
GbmodbTfe mebsure ia tfe rbte bt wfk`f aueg ks `ihsumed
regbve ti ege`trk` iutput, expressed kh Otus per c\f.
GKOI_ (Gihdih Khterobhc Iaaered _bte)Airwbrd aireklh ex`fbhle khterest rbtes.
GkatkhlTfe b`t ia gibdkhl petrigeum ir petrigeum pridu`ts
bt b termkhbg ir trbhsaer pikht.
Gklft @rude IkgFbs bh BZK lrbvkty fklfer tfbh 00 delrees. Tfe fklfer
tfe BZK lrbvkty, tfe gklfter tfe `rude ikg.
Gklft EhdsLriup ia petrigeum pridu`ts wktf tfe giwest oikgkhl
temperbtures, kh`gudkhl lbsigkhes bhd dksggbte auegs.
-
8/7/2019 Energy Hedging & Risk Management Glossary
10/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
2:
GkterB gkter ks 2,:::tf ia b `uok` meter. Tfere bre 0.
-
8/7/2019 Energy Hedging & Risk Management Glossary
11/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
22
MMPTfe UP Mkherbgs Mbhblemeht Pervk`e, bh bleh`y ia
tfe Khterkir Depbrtmeht.
MilbsUsed kh sime mbrcets bs b suostute term air
lbsigkhe.
MimehtumTfe skmpge dkereh`e oetweeh tfe prk`e hiw bhd tfe
prk`e H dbys bli. Mimehtum ks helbve ka tfe prk`e
hiw ks oegiw tfe prk`e H dbys bli, bhd piskve ka kt
ks boive.
Miht OegvkeuMiht Oegvkeu, Texbs. Tfe mbkh pripbhe trbdkhl fuo
bgihl tfe Uhkted Ptbtes Luga @ibst.
Mivkhl BverbleTfe mebh ia prk`es iver b pre-dehed perkid, air
khstbh`e, tfe prevkius ve dbys. Tfe mivkhl bverble
air dkereht me perkids `bh oe `fbrted ti leherbte
sfirt- bhd medkum-term ouy/segg sklhbgs.
H
Hbced IptkihB sfirt ipih piskih kh wfk`f tfe wrkter dies hit
fbve tfe uhdergykhl immidkty
Hbtkihbg Eherly OibrdTfe @bhbdkbh relugbtiry oidy wfk`f iversees khter-
privkh`kbg hbturbg lbs trbde bhd pkpegkhes. Gi`bted kh
@bglbry, Bgoertb.
Hbturbg LbsB hbturbggy i``urrkhl mkxture ia fydri`broih bhd hih-
fydri broih lbses aiuhd kh pirius leigilk`bg airmb-
ihs oehebtf tfe ebrtfs surab`e, ieh kh bssi`kbih
wktf petrigeum. Tfe prkh`kpbg ihstueht ks metfbhe
HLGHbturbg lbs gkqukds. @bh kh`gude etfbhe, pripbhe,
outbhe, ksioutbhe bhd hbturbg lbsigkhe/`ihdehsbte.
Hit ti oe `ihaused wktf GHL, gkqueed hbturbg lbs.
GHL ks br`kbggy gkqueed metfbhe, hit tfe febvker
arb`ihs dehed bs HLGs.
H[FHew [irc Fbroir Tfe degkvery pikht air tfe H[MEV
lbsigkhe bhd febhl ikg ihtrb`ts.
H[MEVHew [irc Mer`bhge Ex`fbhle. Bgsi chiwh kh tfe
eherly khdustry bs tfe H[ Mer`.
HE\Ikg bhd petri`femk`bgs mbrcet boorevkbih air Hirtf-
west Euripe.
I
IaaerBh khdk`bih ia wkggkhlhess ti segg b spe`ked bmiuht
ia b `immidkty bt b spe`k` prk`e.
Iaa-ZebcGklft gibd fiurs. Tfe me ia tfe dby wfeh b piwer
system wiugd experkeh`e kts gklftest gibd, usubggy kh
tfe mkddge ia tfe hklft.
-
8/7/2019 Energy Hedging & Risk Management Glossary
12/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
2?
IZE@Tfe Irlbhkzbih ia tfe Zetrigeum Expirhl @iuh-
trkes. Lriup ia `rude-pridu`khl `iuhtrkes wfk`f fbs
used kts `igge`ve weklft ia pridu`ih skh`e IZE@
wbs aiuhded kh 2;1: kh bh bempt ti khueh`e ikg
prk`es.
Ipeh KhterestIpeh khterest ks tfe humoer ia ipeh `ihtrb`ts ih b
lkveh auture ir ipihs `ihtrb`t. Gihls ir sfirts tfbt
fbve hit oeeh `gised iut bre IK. Pfirt-`iverkhl/
prit-tbckhl wkgg tehd ti redu`e IK.
IptkihsB `ihtrb`t uhder wfk`f tfe wrkter ia tfe ipih lkves
simeihe tfe rklft out hit tfe iogklbih ti ouy ir segg
bh uhdergykhl `immidkty, air khstbh`e, b autures `ih-
trb`t. Ipihs `bh oe iver-tfe-`iuhter ir ex`fbhle-
trbded.
IZKPIkg Zrk`e Khairmbih Pervk`e
Iut ia tfe Mihey Iptkih (ITM)Bh ipih wktf bh exer`kse prk`es giwer tfbh tfe `ur-
reht mbrcet geveg ia tfe uhdergykhl khstrumeht. Pu`f
bh ipih fbs hi khtrkhsk` vbgue, out fbs lit me
vbgue, bs prk`e `fbhles kh tfe uhdergykhl mklft orkhl
kt ob`c khti tfe mihey.
Iver tfe @iuhter (IT@)Okgbterbg mbrcets kh wfk`f `ihtrb`ts air autures, ip-
ihs bhd swbps bre wrkeh ih b tbkgir-mbde obsks.
Z
ZBDDZetrigeum Bggi`bih air Deaehse Dkstrk`t. B lriup ia
ve leilrbpfk` brebs kh tfe UP used kh reaereh`e ti
petrigeum dkstrkouih.
ZbrckhlZrivkdkhl b `ustimer wktf tempirbry lbs stirble,
typk`bggy bt b mbrcet fuo.
Zbrtk`kpbtkih PwbpPkmkgbr ti b relugbr swbp kh tfbt tfe xed prk`e pbyer
ks auggy prite`ted wfeh prk`es rkse boive tfe blreed
(xed) prk`e, wktf tfe dkereh`e tfbt tfe `gkeht pbr-
`kpbtes kh bhy prk`e de`rebse.
Zebc DembhdTfe mbxkmum gibd durkhl b spe`ked perkid ia me
Zebc GibdTfe mbxkmum ege`trk`bg gibd dembhd kh b stbted
perkid ia me. Ih b dbkgy obsks, pebc gibds i``ur bt
mkdmirhkhl bhd/ir kh tfe ebrgy evehkhl
Zebc Gibd Zgbht (Zebcer)B pgbht usubggy fiuskhl giw-e`keh`y, quk`c respihse
stebm uhkts, lbs turokhes, dkesegs, ir pumped-stirble
fydriege`trk` equkpmeht hirmbggy used durkhl tfe
mbxkmum gibd perkids. @fbrb`terkzed oy quk`c stbrtmes bhd leherbggy fklf iperbhl `ists, out giw
`bpktbg `ists
Zebckhl @bpb`kty@bpb`kty ia leherbhl equkpmeht hirmbggy reserved
air iperbih durkhl tfe fiurs ia fklfest dbkgy, weecgy,
ir sebsihbg gibds.
-
8/7/2019 Energy Hedging & Risk Management Glossary
13/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
20
Zfysk`bg DegkveryTfe trbhsaer ia iwhersfkp ia bh uhdergykhl immidkty
oetweeh b ouyer bhd segger ti sege b autures ihtrb`t
aiggiwkhl expkry.
Zisted Zrk`eIutrklft, hih-mbrcet-regbted prk`e requested oy b
segger ia rude ikg ir pridu`ts. Ee`vegy, tfe gkst prk`e.
ZZM (Zbrts per mkggkih)Typk`bggy used ti desklhbte bmiuht ia metbgs ir itfer
kmpurkes kh rehed ikg pridu`ts.
Zre-Zbkd PwbpOy mebhs ia b pre-pbkd swbp, tfe xed pbymehts tfbt
airm ihe skde ia tfe `bsf-iws leherbted oy b stbh-
dbrd swbp, bhd wfk`f bre hirmbggy pbkd iver tfe gkae
ia tfe swbp, br` dks`iuhted fb`c ti tfekr het pre-seht
vbgue bhd pbkd bs bh kmmedkbte `bsf sum ti ihe ia
tfe swbp `iuhterpbres. Tfbt `iuhterpbrty wkgg tfeh
mbce ibhl prk`e pby-merkts iver tfe gkae ia tfe
swbp, nust bs kh b stbhdbrd swbp.
ZremkumTfe prk`e ia bh ipih, bs determkhed oy bh ipihs
prk`khl mideg.
ZrimptB primpt `brli des`rkoes b `brli bvbkgboge air kmme-
dkbte gkkhl (ihe ti twi dbys). Zrimpt tihhble reaers
ti tbhcers bvbkgboge ti gk `brlies kmmedkbtegy.
Zut IptkihTfe rklft, out hi tfe iogklbih, ti segg b `immidkty,
air khstbh`e, b auture.
Zuts/@bgg _btkiTfe rbi ia puts ti `bggs kh bh ipihs mbrcet.
_
_b`c Zrk`eTfe prk`e ia petrigeum pridu`ts bt b rehery ir
wfigesbge gibdkhl rb`c. _b`c-prk khl ks ee`vegy bsf
bhd `brry bt tfe rb`c
_eskstbh`eB prk`e bt wfk`f seggers bre gkcegy ti ehter tfe mbrcet
kh bh uptrehd.
_eskdsIkg mbrcet nbrlih air reskdubg aueg ikgs.
_eskstbh`eB prk`e bt wfk`f seggers bre gkcegy ti ehter tfe mbrcet
kh bh uptrehd.
_everse Tiggkhl\feh b lbs pkpegkhe re`bggs lbs used air ege`trk` leh-erbih bhd dkverts kt ti ehd-use mbrcets wfeh lbs
prk`es bre fklfer tfbh piwer prk`es.
_AL_eairmugbted lbsigkhe. UP spe`ked lbsigkhe airmu-
gbted wktf b fklfer ixyleh `ihteht tfbh pre-2;;:s
lbsigkhes. _AL ks spe`ked ti `ihtbkh ?.
-
8/7/2019 Energy Hedging & Risk Management Glossary
14/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
24
_igg IverTfe trbhsaer ia b piskih arim ihe autures perkid ti
bhitfer khvigvkhl tfe pur`fbse (sbge) ia tfe hebroy
mihtf bhd skmugtbheius sbge (pur`fbse) ia b aurtfer-
airwbrd mihtf.
P
Pe`ihdbry MbrcetKh hbturbg lbs, tfe trbdkhl ia trbhspirtbih `bpb`kty.
Pettgemeht Zrk`eB prk`e estbogksfed bt tfe `gise ia b trbdkhl dby used
ti bg`ugbte tfe segemeht ia autures ihtrb`ts.
Pfirt Zisktkih\feh b trbder seggs b immidkty fe diesht iwh, wktf
b vkew ia ouykhl kt `febper bt b gbter dbte, fe ks sbkd
ti oe sfirt.
Piur/Pweet @rudeDehkihs wfk`f des`rkoe tfe delree ia b lkveh
`rudes sugaur `ihteht. Piur `rudes bre fklf kh sugaur,
sweet `rudes bre giw.
Piur/Pweet LbsPiur lbs ks hbturbg lbs wfk`f `ihtbkhs getfbg fydrileh
sugde, bhd must oe purked oeaire oekhl khne`ted
khti b pkpegkhe. Pweet lbs ks lbs aiuhd kh kts hbturbg
stbte wfk`f dies hit heed ti oe purked ti remive
sugaur-oebrkhl `impiuhds.
Ppbrc PprebdTfe ist dkereh`e ia `ihverhl hbturbg lbs khti ege`-
trk`kty. Kt `bh bgsi oe tfe dkereh`e oetweeh lbs bhd
ege`trk`kty autures prk`es.
Ppit MbrcetB mbrcet wfere tfe immidkty oekhl trbded ks air km-
medkbte degkvery.
PZ_Uhkted Ptbtes Ptrbtelk` Zetrigeum _eserve
PprebdTfe dkereh`e oetweeh twi prk`es, ektfer b`riss me
ir oetweeh immidkes ir khstrumehts.
Pprebd (iptkihs)Bh ipih trbde kh wfk`f twi ir mire ipeh piskihs
bre estbogksfed kh irder ti trbde tfe dkerehbgs bhd
iset rksc. Ipih sprebds mby use dkereht strkce
prk`es bhd/ir expkry dbtes.
Pprebd-TrbdkhlOuykhl ihe khstrumeht/`immidkty bhd seggkhl bh-
itfer, wktf b vkew ti prihl arim tfe `fbhle kh tfe
lbp oetweeh tfe twi mbrcets.
Ptip-Giss IrderOuy ir segg irders put kh tfriulf b oricer, wfk`f bre
butimb`bggy trkllered ka tfe prk`e mives boive ir
oegiw b ertbkh geveg.
PtirbleKh ikg> typk`bggy ihgbhd tbhcble ab`kgkes air sfirt- ir
gihl-term stirble ia `rude ir pridu`ts3 simemes
used kh e`ihimk` pbrgbh`e khter`fbhlebogy wktf tfe
`ih`ept ia ikg sti`cs. Kh hbturbg lbs> ab`kgkes used ti
stire hbturbg lbs wfk`f fbs oeeh trbhsaerred arim kts
irklkhbg gi`bih. Usubggy ihsksts ia hbturbg leigilk`bg
reservikrs gkce depgeted ikg ir lbs egds, wbter-oebrkhl
sbhds sebged ih tip oy bh kmpermeboge `bp ri`c, uh-
derlriuhd sbgt dimes, oedded sbgt airmbihs, ir kh
rbte bses, bobhdihed mkhes.
-
8/7/2019 Energy Hedging & Risk Management Glossary
15/17
-
8/7/2019 Energy Hedging & Risk Management Glossary
16/17
Eherly Fedlkhl & _ksc Mbhblemeht Lgissbry
21
Uh`ivered Zisktkih (autures)\fere b gihl mbrcet pgbyer fbs oiulft mire ia b
`immidkty tfbh fe fbs blreed ti segg, ir wfere b
sfirt mbrcet pgbyer fbs sigd mire ia b `immidkty
tfbh (s)fe fbs ti degkver.
Uh`ivered Zisktkih (iptkihs)\feh tfe lrbhtir ia bh ipihs piskih fbs hi `iver
kh tfe uhdergykhl autures mbrcet blbkhst b prk`e swkhl
kh tfe figders abvir (see degtb fedlkhl).
UPB@Tbhcer bhd mbrcet boorevkbih air UP Btgbh` @ibst.
UPE@Zetri`femk`bg mbrcets boorevkbih air UP Ebst @ibst.
UPL@Mbrcet boorevkbih air Uhkted Ptbtes Luga @ibst.
UP\@Tbhcer bhd mbrcet boorevkbih air UP \est @ibst.
Q
QelbTfe rbte ia `fbhle ia tfe vbgue ia bh ipih wktf
respe`t ti tfe vigbgkty ia tfe uhdergykhl khstrumeht
(bgsi simemes bgged cbppb).
QigbtkgktyB vbgue brkouted ti bh uhdergykhl autures `ihtrb`t
wfk`f determkhes tfe premkum tfbt ks set oy tfe
lrbhtir. Kh`gudes bh egemeht ia fkstirk`bg vigbgkty,
bhd tfe vigbgkty wfk`f tfe lrbhtir ia bh ipih oe-
gkeves wkgg sgg oe seeh kh tfbt autures ihtrb`t.
\
\bttB mebsure ia rebg piwer pridu`ih ir usble equbg
ti ihe Niuge per se`ihd. Tfe rbte ia eherly trbhsaer
equkvbgeht ti 2 bmpere iwkhl uhder b pressure ia
2 vigt.
\et LbsHbturbg lbs `ihtbkhkhl gkqueboge fydri`broihs. Hbt-urbg lbsigkhe, outbhe, pehtbhe bhd itfer gklft fydri-
`broihs `bh oe remived oy `fkggkhl bhd pressure ir
extrb`ih. Kt bgsi reaers ti lbs tfbt fbs wbter kh ex`ess
ia
-
8/7/2019 Energy Hedging & Risk Management Glossary
17/17
Mer`btus Eherly Bdvksirs ks tfe gebdkhl, khdepehdeht, eherly rksc mbhblemeht bdvksiry flrm.
\e privkde iur `gkehts wktf khhivbtkve sigutkihs kh tfe flhbh`kbg bhd pfysk`bg eherly `immidkty
mbrcets tfriulf b `imprefehskve sukte ia qubhtktbtkve bhd qubgktbtkve servk`es.
Air mire khairmbtkih, pgebse `bgg us bt +2.