Environment-Renewables
The windfall dilemma
Free allocations of emission allowances may keep fossil fuel generators happy, but their customers are not smiling. Tobias Hsieh, credit analyst with ratings agency Standard & Poor's, explains who wins and loses under the trading rules
Price drivers - Policy fears in EU ETS
Developments in 2005 have shown that the EU ETS price has been correlated to relative fuel prices and weather. However, there are still remaining policy issues that could greatly influence prices, writes Henrik Hasselknippe and Kjetil Roine from Point…
Market focus - Sky-high cost of clean air
US emissions allowance prices for sulphur dioxide (SO2) rose nearly 200% in 2005 and 300% during 2004. Sandy Fielden of Logical Information Machines examines the SO2 emissions allowance market and discovers which market drivers are forcing prices ever…
Nuclear fusion R&D
In 50 years, nuclear fusion may be a major source of energy, but until then extensive research and development is needed. To justify the current and future R&D expenditure, a cost-benefit analysis designed specially for this sector is required. David…
CDM reaches out
European firms are now aided in meeting their climate targets by being encouraged to invest in third world emissions reductions. But, as Oliver Holtaway discovers, not everyone is optimistic that the industry will participate
Survey - Positive feedback
Energy Risk's second annual emissions survey charts the development of emissions trading in Europe since the start of the European Union Emissions Trading Scheme a year ago
The contingent connection
Credit risk
Possible CME move for Nymex muddies the waters
The Chicago Mercantile Exchange's potential bid for a stake in the New York Mercantile Exchange could further heighten tensions at Nymex over the agreed deal with General Atlantic. That's if the CME comes up with a concrete proposal
FPL/Constellation merger could be tip of iceberg
High gas prices look set to usher in a wave of fresh consolidation in the utility sector, as companies strive to save costs
Basel II: What If?
Investment firms are relying on scenario analysis to gauge their operational risk.
A conference to remember
Structured Products Europe 2005
Europe - An uncertain future
European natural gas demand is expected to rise in the next three decades. But, as Anouk Honore finds, the overall picture is not easy to predict, and depends on what happens in individual countries - particularly Italy and Spain
To build or not to build
Europe needs more power. But a lack of clear pricing signals and the unknown impact of new environmental legislation is making risk forecasting difficult, and could hinder new plant construction
2005 in review
The energy markets were a dynamic place to be in 2005, with high volatility and an explosion of new players hitting the scene. Inevitably, though, it wasn't all smooth sailing. Energy Risk looks back over the highs and lows of 2005, from the launch of…
A look in the rear view
Utilities and regulators often disagree over the purpose of energy price risk management. Manitoba Hydro's recent experience with backtesting its hedging strategy is a case in point
Planning for disaster
SPONSORED ROUND TABLE
Basel II: what if?
SPONSORED ROUND TABLE
The world of indexes
News
A Cleaner Act for Credit Derivatives
As credit volumes have increased, firms must grapple with price transparency and operational risk.
Risk and responsibility
A growing number of banks are producing sustainability reports detailing their environmental and socially responsible initiatives. Is this just slick PR or has sustainability become an important risk management consideration? Clive Davidson investigates
TFS hires ex-weather broker to emissions desk
Tradition Financial Services (TFS) has hired Frederique Leverett, formerly a weather derivatives broker, for its London-based emissions desk.