SimEnergy is the most popular Energy Trading Risk Management system in Australia.
SimEnergy is an integrated deal capture, settlements and risk analysis system designed specifically for Traders, Retailers and Generators operating in the Australian and New Zealand energy markets. SimEnergy is currently licensed to 10 companies in Australia, where we have more ETRM installations than any other vendor, and two in New Zealand.
SimEnergy forecasts retail loads, models generator dispatch and values these physical positions together with exchange and OTC traded derivatives and options. SimEnergy comprises a suite of windows applications that run against a SQL Server database in a multi-user client-server architecture.
Key features of SimEnergy include:
SimEnergy facilitates efficient and accurate entry of deals, products, counterparties and other relevant information. A configurable deal workflow is included to facilitate segregation of duties based on permissions and notifications configured for each user. Deal limits and delegations are an integral part of this process to assist your organisation in delivering good governance.
SimEnergy has user defined custom fields are easily defined by the system administrator and can apply to Companies, Products and Deals.
SimEnergy uses historic meter data to calculate load profiles for retail loads and generation. SimEnergy can handle up to 80% missing data with load profiles calculated for each month and ‘missing’ months copied from the closest month of valid data. SimEnergy calculates the average, minimum, maximum and standard deviation load profiles for each half hour for up to 3 day-types for each set of metered data.
SimEnergy provides a flexible notional position chart where you can
- group deals by node, instrument, book, strategy or counterparty
- include or exclude any deal
- display in half-hourly resolution or aggregate by day, week, month, quarter, year or whole period
- display in flat, peak and offpeak or by working and non-working 48 part profiles
- stack deals by instrument against a retail or generation position.
Forward Price Curve
SimEnergy has creation of half-hour Forward Price Curves to use in MtM that fit the users’ selection of market prices and historical half-hour shapes.
SimEnergy can MtM using a half-hour volume and price profiles. The half-hour profile can incorporate various load profiles including minimum, average, maximum and simulation and the half-hour Forward Price Curve can be based on historical prices, current market prices or supplied by the user. MtM can also be calculated for Futures, OTC, Environmentals and Options based on closing prices which are stored against each Product. The MtM can be calculated on a Net basis or By Deal on a Full-term or Balance of term basis.
At Risk metrics
SimEnergy has multi-region Earnings-at-Risk (EaR), Cash Flow-at-Risk (CFaR) and Value-at-Risk (VaR) are calculated by SimEnergy. EaR and CFaR calculations can use half hour price simulations created using MRJD or Discrete methodologies or prices provided by the user. Metered load and/or generation dispatch can also be simulated and discount curves and credit spreads incorporated in the valuation. VaR is calculated using volatilities and correlations calculated from historical prices.
Initial Futures Margin
SimEnergy initial Futures Margin using PC Span are calculated.
SimEnergy provides for settlement calculations and invoice management in a controlled workflow for OTC derivatives, views of dated payments and invoice creation for upcoming payments.
Instruments include LGC’s, STC’s, VEEC’s and ESC’s. Environmental certificates can be created from historical meter readings for generation and retail, MtM can be produced from an Environmental Forward Curve and Inventory and Cashflow reports can be produced.
SimEnergy has data that can be automatically imported from external websites including ASX, AEMO, PC Span and specified folders to ensure that market data has been updated for all users prior to the workday commencing.
SimEnergy enables segregation of duties by controlling access for each user. Provides controls around deal status updates, delegations of authority, breach reporting and automatic emailing to internal and external stakeholders.
SimEnergy has a system administrator controls access, permissions and notifications for each user in SimEnergy. The system administrator can also define custom fields and configure database connections, shared folders and other configurable settings.
SimEnergy has a consolidated audit log records changes that have been logged against Calendars, Companies, Deals, Products and Users.
Design and customise your own reports based on the simulation and valuation engines integrated into SimEnergy with the results written to the database. This facilitates integration with external systems via the provision of a managed suite of database views.
A key part of our development process is automated testing. We currently run around 2500 tests on SimEnergy each night on multiple platforms to ensure the quality of our software.