Gazprom peaker and battery trading optimisation – maximising trading revenues for our clients

As the UK makes the move towards greater renewable power, we’re playing our part with our new asset trading IT system.


Having recently launched a new asset trading IT system, we’ve seen a boost in the trading performance across all of Gazprom’s assets. Great news for clients who are looking to maximise their revenues, we’ve leveraged the demand for flexible gas and diesel peakers and batteries, using our experience and services to optimise trading for our partners.

Of the launch, Our Lead Power Originator, Toon Van de Plas says: “Flexible  peaking assets have a significant role to play in the move towards more renewable power in the UK, so Gazprom is excited to partner up and provide its trading services.”

Gazprom and the gas/diesel space

 

It’s perhaps unsurprising to see why. With over 70 sites – both large industrials with onsite flexible assets and energy funds with new-build recip engines – under our management, Gazprom has positioned itself the market leader in the gas and diesel peaker space. Five years ago, we were the first to make inroads into this business area, quickly gaining ground through our unique offering, resulting in our counterparties achieving maximum trading profit.

We have a dedicated power-operation-trading and portfolio-management team for the assets under our management, too. Since we don’t own any of our own assets, there’s no conflict of interest, an approach that sets us apart from our competitors.

Male and female colleagues in high vis jackets and hard hats discussing a problem using a laptop

The future for small scale flexible assets

We’re welcoming the increasing interest in renewable generation with open arms. As the UK experiences periods of low wind and solar energy, this kind of generation becomes more and more necessary. There are a number of other reasons for the changing attitude towards energy generation, including:

  • The traditionally fossil-fuelled UK infrastructure is rapidly ageing, with coal and inefficient gas plants quickly being phased out without a suitable replacement.
  • The Triad – the three highest demand, half-hour periods on the electricity systems each year – and its embedded benefits usually dampen any price volatility over winter, but since this will be phased out from this year, much stronger power price signals are expected.
  • A slowing down of the peaker and battery build-out due to Capacity Mechanism issues, oversubscribed ancillary services and removal of embedded benefits.

How can Gazprom help?

Going forward, the vast majority of revenue streams will focus on the margin achieved in traded wholesale markets. If you’re looking to maximise these revenues, Gazprom’s expertise makes us the ideal partner; we combine an experienced asset trading team with a newly-introduced digital trading team that focuses on algorithmic and AI trading.

Display of stock market quotes and chart in monitor computer room

What can Gazprom offer for flexible assets?

By working with us, you’ll have access to new tools such as our Gazflow platform which allows you to see live traded power and gas prices in real time. In addition, you’ll also be afforded the following:

  • Power offtake
  • Power supply, (with an exemption of non-commodity costs for batteries)
  • Power supply, (with an exemption of non-commodity costs for batteries)
  • Gas supply for gas peakers
  • Embedded benefit pass-through, with Triad guarantee available
  • Asset optimisation in forward, day-ahead, intraday and system/BM markets
  • Fees based on trading performance that align with both the generator’s and Gazprom’s incentive
  • Access to state-of-the-art power, gas, weather and digital trading proprietary intelligence
  • Access to state-of-the-art power, gas, weather and digital trading proprietary intelligence
  • Dedicated asset trading team that trades on behalf of the generator
  • Vastly detailed and transparent daily reporting of all trades executed along with month-to-date performance
  • Operational dispatch services from London offices
  • Advanced risk management through investment hedging
  • Tenor up to 15 years
  • Guarantee structures available
  • Provision of analyses to back up your investment case

Contact us today!

Headshot of Toon Van de Plas

Toon van de Plas

Lead Power Originator

Toon.vandePlas@gazprom-mt.com

+44 20 7756 0886

andrew-morris-gmt

Andrew Morris

Power Originator

Andrew.Morris@gazprom-mt.com

+44207756186

Click here for the latest news and features from Gazprom Marketing & Trading or visit our homepage to find out about our latest career opportunities.

The views, opinions and positions expressed within this article are those of our third-party content providers alone and do not represent those of Gazprom Marketing & Trading. The accuracy, completeness and validity of any statements made within this article are not guaranteed. Gazprom Marketing & Trading accepts no liability for any errors, omissions or representations.

FURTHER READING


VIEW ALL BLOG POSTS