Retail power suppliers
Priogen also buys risks from retail power suppliers. In this way the retail supplier has a clear view on this imbalance costs and he has the opportunity to lock-in his market price exposure.
In our view a power retail company doesn’t like to have risks on its books. Risks like forecasting the consumption demand or the imbalance costs. As we are a buyer of risks, we would love to have these forecasting and imbalance risks on our books.
Priogen already does so for retail power suppliers in the Netherlands.
Window-to-the-market
Sometimes a supplier of power wants to hedge their market price exposure. However, reality is that some wholesale power markets are illiquid markets, like the NL market, and that requested volumes can be too small to trade wholesale. Priogen acts as a window-to-market for peak and baseload volumes. In standard volume size (blocks of 5 MW) but also for smaller volumes and more illiquid markets.
This sounds easy, but please note that these transactions are subject to efet or isda contracts and margin calls requested by clearing banks and exchanges. Just to make things clear from the start as we believe in clarity.
