CARBON MARKETS
& POWER PRICING

11 DECEMBER
LONDON

COURSE
OVERVIEW

In the EU ETS, the European emission trading scheme, the carbon price has risen phoenix-like from a decade-long slump. Carbon credits have soared almost fourfold in the past 12 months, and are now trading in the € 20/t range. Following EU legislative changes designed to get the scheme (finally) working by governing the availability of allowances through the Market Stability Reserve that will start by 2019.

The rebound of the carbon prices is set to have huge ramifications for the merit orders of generation plants in the different EU Members States, as it will encourage the switch from coal to cleaner alternatives such as renewables, nuclear and natural gas. The higher carbon prices are already reflected in rising prices on the electricity forward markets across Europe. Higher forward prices will make companies more aware of the need to hedge themselves against these future uncertainties for their procurement costs of electricity.

A very interesting way for them to hedge is via Corporate PPAs, i.e. companies are contracting to buy wind or solar electricity directly from the source, the wind farm or solar plant. In this highly interactive one day workshop, Kasper will talk you through the latest and future developments in the European Carbon and Power market and the impact that would have on the players in the industry and what could be done to mitigate that risk.

 

European Electricity Markets
Power Price Dynamics in Europe
The different trading markets and timeframes
The return of the EU ETS Carbon market
Power and Carbon Price management by companies:
Final Discussion and Closing

• Current status and future developments
• Main features electricity markets
• Changing roles Players Power Market
• New developments
• Regulatory landscape Energy

• Non-storability
• Price Drivers
• Evolution of volatility in energy markets
• Mean reversion and Seasonality
• Correlation
 •Market Liquidity
•Negative prices

• Forwards and Future
• Day Ahead
• Intraday
• Balancing
• FTRs
•Capacity Market

• Current status and future developments
• Where will Carbon market go next?
• Will oversupply disappear?
• Relation power, gas, coal and CO2 price
• How will power prices develop
• Impact Renewables
• Gas Generators will benefit
• Fuel switching vs. renewables
• Challenges

• How to manage higher carbon prices and power prices

• Make carbon a strategic goal

• Take measures or pay€ 100/t fine

• Create competitive advantage

• A Corporate PPA; what is it and how would work

YOUR
TRAINER

Skilled and accomplished professional with over 25 years of extensive C-level experience in the energy markets worldwide. Kasper has a strong expertise in all the aspects of (energy) commodity markets, international sales, marketing of services, derivatives trading, staff training and risk management within dynamic and high-pressure environments. 

KASPER WALET
 

Kasper received a Master’s degree in Law from the University of Utrecht in 1987. He started his career at the NLKKAS, the Clearing House of the Commodity Futures Exchange in Amsterdam. After working for the NLKKAS for five years, Kasper was appointed as Member of the Management Board of the Agricultural Futures Exchange (ATA) in Amsterdam at the age of 31. While working for the Clearing House and exchange, Kasper became an expert in all the aspects of trading and risk management of commodities.

In 1997 he founded his own specialist-consulting firm that provides strategic advice about
(energy) commodity markets, trading and risk management.

Kasper has advised government agencies such as the European Commission, investment banks, major utilities and commodity trading companies and various energy exchanges and market places in Europe, CEE countries, North America and Asia. Some of the issues he has advised on are the development and implementation of a Risk Management Framework, investment strategies, trading and hedging strategies, initiation of Power Exchanges (APX) and other trading platforms, the set-up of (OTC) Clearing facilities, and feasibility and market studies like for the Oil, LNG and the Carbon Market.

Kasper has given numerous seminars, workshops and (in-house) training sessions about both the physical and financial trading and risk management of commodity and carbon products. The courses have been given to companies all over the world, in countries like Japan, Singapore, Thailand, United Kingdom, Germany, Poland, Slovenia, Czech Republic, Malaysia, China, India, Belgium and the Netherlands.

Kasper has published several articles in specialist magazines such as Commodities Now and Energy Risk and he is the co-author of a book called A Guide to Emissions Trading: Risk Management and Business Implications published by Risk Books in 2004.