Mexico has become one of the most attractive emerging energy markets in the world. Since 2016, when energy reform was enacted to liberate the state-run power and fuel markets, there are only a handful of places in the world that shine brighter with opportunity for new business. However, opportunity in Mexico comes wrapped with uncertainty and risk. Like in any new market the panorama is …
México se ha convertido en uno de los mercados de energía emergente más atractivos del mundo. Desde 2016, cuando se promulgó la reforma energética para liberar los mercados de energía y combustible administrados por el estado. Solo hay un puñado de lugares en el mundo que brillan con mayor oportunidad para nuevos negocios. Sin embargo, la oportunidad en México viene envuelta entre la incertidumbre y …
Renewable energy purchases by large corporations are accelerating. In 2017, large corporates bought over 5 gigawatts of renewable energy and we are on-pace to shatter this number in 2018 with over 7 gigawatts already purchased this year (Bloomberg article August 2018). Telecoms and large technology companies are leading this charge and mainstream Fortune 1000 companies are not far behind. In this rush to acquire renewable …
Los acuerdos de compra de energía renovable (PPA, por sus siglas en inglés) por mucho tiempo han sido importantes conductos de desarrollo para las energías renovables. Sin embargo, al igual que cualquier transacción estructurada, los PPA vienen con un cierto conjunto de riesgos que el comprador debe comprender completamente antes de comprometerse. Cada instalación eólica o solar tiene características únicas que se muestran tanto en …
When it comes to energy risk management analytics, the classic dilemma that most energy companies face is “build or buy”. A dilemma is a situation in which a difficult choice must be made between two equally undesirable alternatives. Later I will introduce the new alternative of assembling a risk solution. First, let’s spend a moment describing how most energy companies get themselves into the build …
This article is based on the author’s recently-published article in the JP Morgan Center for Commodities Global Commodities Applied Research Digest (GCARD). Renewable power purchase agreements (PPAs) have long been important enablers of renewable energy development. However, like any structured transaction, PPAs come with a certain set of risks that the buyer should fully understand before committing to the deal. Each wind or solar facility …
Recently, I had the opportunity to sit down with Mr. Williams. In the following interview, he provides sage advice on risk analytics and how to grow awareness of risk-based thinking within an organizational culture. Q1: Mr. Williams, as the Risk Manager for Grant County Public Utility District, what are your primary responsibilities? Chiefly I am tasked with developing our enterprise risk platform and integrating it …
Renewable power purchase agreements (PPAs) have long been important enablers of renewable energy development. They are a means to both providing the revenue certainty that project developers need to secure financing for capital-intensive wind and solar projects, and giving renewable energy buyers access to the renewable energy they desire without up-front capital outlay or the need for development expertise.This white-paper, the first in a two-part …
Natural Gas demand in the Caribbean is growing. Yet natural gas supply has not caught up to this demand. There are structural inefficiencies in the market that have prevented demand from being fully met. These inefficiencies represent a market opportunity. This article seeks to identify the underlying reason for the lack of natural gas supply as well as some recent developments to address this problem. …
La demanda de gas natural en el Caribe está creciendo. Sin embargo, el suministro de gas natural no ha alcanzado esta demanda. Existen ineficiencias estructurales en el mercado que han impedido que la demanda se cumpla por completo. Estas ineficiencias representan una oportunidad de mercado. Este artículo busca identificar la razón subyacente de la falta de suministro de gas natural, así como algunos desarrollos recientes …
