| ID | 104967 |
| Title Proper | Pan-European management of electricity portfolios |
| Other Title Information | risks and opportunities of contract bundling |
| Language | ENG |
| Author | Gampert, Markus ; Madlener, Reinhard |
| Publication | 2011. |
| Summary / Abstract (Note) | Due to the liberalization of energy markets in the European Union, today's European utilities not only focus on electricity supply, but also offer exchange-traded "structured products" or portfolio management for unbundling financial and physical risk positions. Many utilities are only able to provide these services in their domestic markets. In a globalized economy, the need for a centrally organized pan-European portfolio management has arisen, as it allows a simplified commodity sourcing in combination with an optimized risk management. In this paper, we examine the challenges to be overcome for establishing a European-wide bundling of electricity contracts. For this purpose, a case study based on the business perspective of RWE Supply & Trading in Central and Eastern Europe is carried out. In a first step, we analyze general requirements for a pan-European bundling of electricity contracts. Then, RWE's situation in Europe is examined, based on which we finally propose a concept to meet customer demands in Central and Eastern Europe. |
| `In' analytical Note | Energy Policy Vol. 39, No. 5; May 2011: p.2855-2865 |
| Journal Source | Energy Policy Vol. 39, No. 5; May 2011: p.2855-2865 |
| Key Words | Portfolio Management ; Risk Management ; Electricity Market Liberalization |