Course 19 of 20 · Power and Electricity Desk Academy

Generation, Supply & Hedge Portfolios

Stage E, Portfolio and desk integration. Level 9 of 10.

The consolidation of generation, supply and hedge books into a single portfolio view with aggregate risk and management reporting.

126 chapters · 12 modules · every chapter one 8 to 10 minute explainer · builds on: Course 11, Course 12, Course 13, Course 14

Enrol or enquire See the 126 chapters
How a chapter is sized

One chapter is one idea taken to the point of use

Each chapter is a single self-contained explainer of 8 to 10 narrated minutes, covering one idea to the point where you can use it.

Chapters run in order. Each one assumes only what the chapters before it taught, and capability belonging to a later course is named and deferred rather than half-covered.

Curriculum

12 modules · 126 chapters

Open any module for its full chapter list, in teaching order.

M0 Three Books, One Portfolio Ch 1-10
  1. When the Fleet, the Customers and the Paper Stop Being Three Businesses
  2. What Sits Inside the Portfolio Perimeter and What Does Not
  3. Why a Megawatt Hour Generated and a Megawatt Hour Sold Do Not Simply Cancel
  4. The Four Books an Integrated Electricity Operation Actually Runs
  5. The Daily Clock of a Consolidated Power Desk
  6. Who Reads the Consolidated Position and What They Each Want From It
  7. Gross Margin as the Number the Whole Portfolio Is Judged On
  8. The Vocabulary of Consolidated Power Reporting
  9. Flexibility Held Across the Whole Portfolio Rather Than Per Asset
  10. What You Are Expected to Bring Into This Material
M1 One Half-Hourly Grid Everything Must Land On Ch 11-22
  1. Choosing the Granularity the Consolidated Position Is Held At
  2. Hour Ending, Hour Beginning and the Reconciliation That Fails Because of It
  3. The Twenty-Three Hour Day and the Twenty-Five Hour Day
  4. Time Zones, Market Clocks and a Portfolio Spanning Two Borders
  5. Converting Capacity, Energy and Contract Volume Into One Unit
  6. Sign Conventions: Long, Short and the Sales Team's Opposite Habit
  7. Firm, Availability-Weighted and Forecast: Three Grades of Portfolio Volume
  8. The As-At Stamp and the Position That Changed While You Were Reading It
  9. Mapping Nodal, Zonal and Hub Positions Onto One Reference Point
  10. Building the Aggregation Pipeline That Produces the Position
  11. Reconciling the Aggregate Back to Every Source It Came From
  12. One Portfolio Grid Assembled From Scratch, Worked
M2 Loading the Generation Fleet Into the Aggregate Ch 23-33
  1. What a Thermal Station Contributes to a Portfolio Position
  2. Loading a Must-Run Unit Against Loading a Marginal One
  3. The Planned Outage Overlay and the Position It Rewrites
  4. Forced Outage Probability Inside an Aggregate Volume
  5. Correlated Fleet Failure and the Assumption That Breaks It
  6. Loading a Wind Farm Into the Aggregate Position
  7. Loading Solar, and Why Its Profile Behaves Unlike Wind in the Aggregate
  8. Hydro and Storage: Volume the Portfolio Can Move Through Time
  9. A Tolled Unit, a Leased Unit and a Part-Owned Unit
  10. Fuel and Carbon Commitments Attached to the Fleet Position
  11. The Fleet Position Assembled, Worked
M3 Loading the Supply Side Into the Aggregate Ch 34-44
  1. What a Supply Book Contributes to the Consolidated Position
  2. Aggregating Many Small Customers Into One Load Shape
  3. Loading a Single Large Industrial Contract
  4. Volume Tolerance Bands Summed Across a Whole Book
  5. Churn, Win Rates and a Short Position That Shrinks Without Warning
  6. Loading a Sale That Is Only a Tender Until It Is Signed
  7. Fixed Price, Indexed and Pass-Through Customers in One Aggregate
  8. Embedded Generation, Self-Supply and the Customer Who Stops Buying
  9. Interruptible and Demand-Response Customers as Portfolio Short Options
  10. Loss Factors, Network Charges and the Volume Gap Between Meter and Market
  11. The Supply Position Assembled, Worked
M4 The Hedge Overlay Netted Against Both Sides Ch 45-55
  1. Netting the Fleet Long Against the Supply Short Before Any Hedge
  2. The Natural Hedge and the Hours It Does Not Cover
  3. Loading Existing Hedges Onto the Portfolio Grid
  4. Hedge Ratio Measured Against What, Exactly
  5. The Residual Position After Netting and Hedging Together
  6. Cross-Commodity Netting: Power, Gas and Allowances in One Frame
  7. Hedges Held Against a Forecast Rather Than an Obligation
  8. Over-Hedging and the Day the Portfolio Is Short Its Own Cover
  9. Proxy and Correlation Hedges Inside a Power Portfolio
  10. Hedge Accounting Designation and Why the Portfolio View Is Not It
  11. The Netted Portfolio Position Assembled, Worked
M5 Internal Transfer Pricing Between Generation and Supply Ch 56-64
  1. Why an Integrated Operation Needs an Internal Price at All
  2. Transferring at the Market Curve
  3. Transferring at Cost, and What That Does to the Sales Team
  4. Shaping the Transfer: Who Pays for the Peak
  5. Who Carries the Volume Risk Across the Internal Boundary
  6. Who Carries the Shape and Imbalance Cost
  7. Gaming the Internal Price, and the Controls That Stop It
  8. Reporting Two Margins That Must Still Add Up to One
  9. An Internal Transfer Policy Written for One Integrated Operation
M6 Aggregate Exposure: Shape, Volume and Location Together Ch 65-75
  1. The Four Exposures a Consolidated Power Portfolio Actually Holds
  2. Aggregate Shape Exposure Across Fleet, Supply and Hedge
  3. Volume Exposure When Generation and Demand Are Both Uncertain
  4. The Correlation Between Price and the Portfolio's Own Volume
  5. Locational Exposure Netted Across a Multi-Node Portfolio
  6. Spread Exposure the Portfolio Holds Without Having Traded One
  7. Weather as a Single Portfolio Factor Rather Than Many
  8. Tenor Exposure and the Years the Portfolio Cannot Cover
  9. Concentration: One Customer, One Station, One Node
  10. Counterparty Exposure Aggregated Across Fleet, Supply and Paper
  11. One Exposure Map for the Whole Portfolio, Worked
M7 Risk Measures for a Fleet-Plus-Supply Book Ch 76-87
  1. Putting One Risk Number on a Generation and Supply Portfolio
  2. Earnings at Risk Rather Than Value at Risk, and Why Utilities Choose It
  3. Choosing the Horizon: To the End of the Hedging Window
  4. Simulating the Portfolio Rather Than the Price
  5. Where the Portfolio's Distribution Is Not Symmetric
  6. The Tail That Matters: A Cold Still Week With a Unit Down
  7. Correlation Assumptions Inside the Portfolio Measure
  8. Liquidity and the Holding Period Nobody Can Honour
  9. Measuring the Risk That the Forecast Itself Is Wrong
  10. Backtesting a Portfolio Measure Against Realised Margin
  11. Risk Contribution: Which Book Is Actually Causing the Number
  12. Reporting a Risk Number to People Who Will Act on It
M8 Stress and Scenario Design for a Power Portfolio Ch 88-97
  1. Designing a Scenario That Could Change a Decision
  2. The Weather Stress: A Prolonged Cold Calm Spell
  3. The Weather Stress Nobody Models: A Windy Mild Weekend
  4. The Plant Stress: Losing the Largest Unit for a Quarter
  5. The Customer Stress: Losing or Winning a Third of the Book
  6. The Spread Stress: Fuel and Carbon Moving Against Power
  7. The Basis Stress: A Constraint That Separates Fleet From Load
  8. Reverse Stress: Starting From the Loss the Business Cannot Take
  9. Stress Results Expressed as Margin, Cash and Collateral Together
  10. A Scenario Suite Designed for the Worked Operation
M9 The Portfolio Hedging Programme Ch 98-107
  1. From Exposure Map to a Hedging Mandate
  2. The Layered Hedge Programme Across Rolling Years
  3. Setting the Target Cover Level and Defending the Number
  4. Hedging to a Band Rather Than a Point
  5. Rebalancing the Programme When the Forecast Moves
  6. Hedging Under a Collateral Ceiling
  7. Who May Change the Portfolio's Cover, and Within What Limits
  8. The Limit Set a Consolidated Power Portfolio Actually Needs
  9. Measuring Whether the Programme Worked
  10. A Hedging Programme Written for the Worked Operation
M10 Management Reporting and the Margin Bridge Ch 108-117
  1. The Morning Portfolio Pack and Its Order
  2. The Trading View and the Accounting View of the Same Portfolio
  3. Running Down a Gap Between Two Portfolio Numbers
  4. Marking an Integrated Portfolio Where Half of It Has No Price
  5. The Gross Margin Bridge From Plan to Actual
  6. Attributing Result to Generation, Supply and the Hedge Overlay
  7. Attributing the Shape and Volume Variance Separately
  8. The Residual Line and What a Growing One Tells You
  9. Compressing the Portfolio Pack for the Executive Floor
  10. Reporting to the Regulator, the Auditor and the Rating Agency
M11 The Portfolio Under Review, and the Limits Ch 118-126
  1. The Worked Operation, Part One: Reading the Consolidated Book
  2. The Worked Operation, Part Two: Where the Real Exposure Sits
  3. The Worked Operation, Part Three: Setting the Cover and the Limits
  4. The Worked Operation, Part Four: A Year of Weather and Outages
  5. The Worked Operation, Part Five: The Margin Bridge Explained
  6. Judging a Portfolio Decision by Its Inputs, Not Its Outcome
  7. What a Consolidated Position Can Never Show You
  8. When Aggregation Is the Wrong Answer
  9. Where the Consolidated Portfolio Goes Next

The brochure gives each of these 126 chapters a paragraph on what it covers and what you can do once you have worked through it.

This is course 19 of twenty

It stands alone, and it is also the entry point to the Power and Electricity Desk Academy pathway.

Enrol or enquire See the whole pathway