International Energy Seminars

International Energy Markets and Trading Intensive training on liberalised energy markets and trading as well as market transformation towards renewable energies Module overview

Introduction to liberalised power markets

Trading practice: realistic energy trading simulation

Basics of liberalised power markets Wholesale power markets Short-term electricity trading at spot markets Long-term electricity trading at futures markets

Computer-based Trading Simulation – short term Computer-based trading simulation – long-term Computer-based trading simulation – cross-border

Energy trading: strategy, tools and expert knowledge

Renewable energies in the power market

Power procurement Portfolio management Risk management Retail strategy

German energy transition: how to achieve the “Energiewende” Renewable energies in the electricity market Challenges for energy providers New technologies: opportunities and challenges

Power price forecasts and trading strategies Forecast of day-ahead prices Long-term price forecasts with fundamental models Application of technical chart analysis in energy trading Chart formations and technical signals

Dates and location You decide on the location, date and participants of the event. The event may be conducted as an in-house seminar or in an exclusive venue.

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INTERNATIONAL ENERGY MARKETS AND TRADING Energy Brainpool offers individual training on liberalised energy markets, energy trading, portfolio and retail strategies as well as management. The intensive training course International Energy Markets and Trading will familiarise you with all the important features of modern, liberalised power markets. In interactive seminars our experienced trainers will discuss all arising questions. Theoretical background knowledge is combined with practical know-how. Modules may be combined and extended in an individualised agenda according to your needs. The exemplary agenda outlines an optimal combination of holistic theoretical knowledge on all aspects of international energy markets in different training modules. Topics cover wholesale power markets, procurement at spot and futures markets, portfolio and risk management, retail strategies and management as well as trading strategies. Potential and challenges of the strategic process of market transformation towards renewables as well as of new technologies will be discussed. Trading simulations support an ideal learning effect by means of practical application of the theoretically imparted knowledge. Thereby participants get the opportunity to control their own power plant portfolio and thus participate in power trading. Trading strategies for international power markets and a short written examination will conclude the third day. During the seminar our experts offer market insights and discuss implications on your company. Training may be conducted in German or English. Additional interpreter services may be provided. Profit from Energy Brainpool’s leading experiences in the German and international markets. We closely work with various players in the fields of economy, science and politics, such as energy utilities, regulators and power exchanges. We are looking forward for your participation in becoming leading experts in energy trading within the international power markets. Sincerely,

Foto: IndustryAndTravel - Fotolia

DETAILS Dates and location You decide on location and date of the event. The event may be conducted as inhouse seminar or in an exclusive venue. You also decide on the participants. Duration Training may be conducted within 1 to 5 days and may be complemented by additional excursions and events.

TARGET GROUP ▪▪ Experts and executives with ties to energy generation, trading, purchase, procurement and distribution ▪▪ Employees in portfolio management, risk management and analysis

Tobias Kurth CEO Energy Brainpool GmbH & Co. KG

▪▪ Government officials and employees of authorities and regulators ▪▪ Experts of all areas with ties to the energy market

YOUR BENEFIT CONTACT Energy Brainpool GmbH & Co. KG Brandenburgische Straße 86/87 10713 Berlin, Germany Phone: +49 30 767654 - 10 Telefax: +49 30 767654 - 20 www.energybrainpool.com [email protected]

▪▪ You learn about the operating principles of wholesale power markets ▪▪ You gain detailed knowledge of strategies of all relevant areas of power markets ▪▪ You learn to evaluate and adapt ideas and principles of the energy transition to your company, country and given market situation

MODULE 1: INTRODUCTION TO POWER MARKETS The introduction provides you with a detailed overview on the framework of the power market design, the balancing group system, of the available products and trading processes in wholesale power markets. Different aspects of price settling and price influences for short- and long-term power markets will be discussed as well.

Gain detailed insights into liberalised energy markets and discuss implications for the energy market in your country and your company.

Foto: pictures / pixelio.de

AGENDA MODULE 1 Basics of liberalised power markets ▪▪ Framework: How to trade a product you cannot touch ▪▪ Balancing group systems ▪▪ Control power and balancing energy mechanisms ▪▪ Agents and their role in the liberalised power market

Short-term electricity trading at spot markets – Day-ahead auction and Intraday trading ▪▪ Price setting via the merit-order ▪▪ Price influences at spot markets ▪▪ Day-ahead auction and intraday trading at the EPEX ▪▪ Marketing of renewable electricity and the energy price

Wholesale power markets ▪▪ Exchange trading vs. over-the-counter trading ▪▪ Differentiation between spot market and futures market

Long-term electricity trading at futures markets ▪▪ Trade motivation: hedging, arbitrage and speculation ▪▪ Futures trading products: forwards and futures ▪▪ Margining ▪▪ Price influences at the futures market

MODULE 2: ENERGY TRADING: STRATEGIES, TOOLS & EXPERT KNOWLEDGE Module 2 covers different strategies for power procurement and associated risk management processes. Portfolio management and practical examples of risk optimisation such as value-neutral hedges for customer load profiles by means of hPFC (hourly price forward curve) will help you to evaluate a given portfolio with risk maps and risk indicators. You will be introduced to existing products and possibilities for customer segmentation and discuss varying customer load profiles. Deepen your knowledge on strategies and how to implement theoretical knowledge in risk management as well as in retail.

Foto: Christoph Busse/EEX

AGENDA MODULE 2 Power procurement ▪▪ Full supply vs. structured procurement ▪▪ Standard load profile vs. consumption metering

Risk management ▪▪ Short and long-term risks in the energy sector ▪▪ Risk management processes ▪▪ Risk maps and risk indicators (VaR, CfaR, etc.)

Portfolio management ▪▪ Processes and pricing Retail strategy ▪▪ Procurement strategies considering risks ▪▪ Strategies and methods for successful retailing ▪▪ Value-neutral hedge of customer load profiles by means of ▪▪ Customer segmentation ▪▪ Customer load profiles hPFC ▪▪ Example products (tranche and discount models) ▪▪ Exemplary portfolio structure of energy suppliers

MODULE 3: POWER PRICE FORECASTS AND TRADING STRATEGIES You will get to know the most important forecasting methods for short-term and long-term power prices. The utilisation of chart analysis and technical trading signals for an optimal trading performance will be explained with practical and up-to-date examples.

Gain detailed knowledge on how prices are being influenced and establish a base for creating your own price forecasts. Foto: by-studio/Fotolia.com

AGENDA MODULE 3 Forecast of day-ahead prices ▪▪ The most important forecast methods ▪▪ Assessment of model quality and forecast errors

Application of technical chart analysis in energy trading ▪▪ Suitability of technical analysis in energy trading ▪▪ Different chart types (line, point & figure, candlestick)

Long-term price forecasts with fundamental models Chart formations and technical signals ▪▪ Merit order method ▪▪ Chart analysis and important formations (Support, trends, ▪▪ Fuel-switching and clean spreads gaps, channels etc.) ▪▪ Cross-border electricity flows and their effect on electricity ▪▪ Technical trading signals (EMA, Bollinger bands, RSI, Fiboprices nacci, etc.)

MODULE 4: TRADING PRACTICE: REALISTIC ENERGY TRADING SIMULATION Practical and realistic trading simulations allow the participants to apply theoretical obtained knowledge in a competitive environment. You control your own power plant portfolio and thus participate in power trading. During the computer-based simulation you will conduct different trading processes in the day-ahead and intraday phase or on the futures market. You will interpret meteorological events, technical data of your power plant as well as historical market data, in order to plan your actions. You will optimise the power plant dispatch via transactions in on a virtual power exchanges across countries. Learn how an energy trader operates: strategies, mechanisms and competing in a fast pace and realistic trading environment.

Foto: Energy Brainpool

AGENDA MODULE 4 Computer-based Trading Simulation – short term Computer-based Trading Simulation – cross-border ▪▪ Preparation and submission of day-ahead bids ▪▪ Basic market mechanisms ▪▪ Intraday power plant optimisation ▪▪ Electricity pricing ▪▪ Balancing of schedule deviations ▪▪ Asset-backed transactions ▪▪ Response to ramping up/down and technical restrictions ▪▪ Identification of arbitrage transactions ▪▪ Profit maximisation through power plant optimisation and ▪▪ Timetable and balancing group management possible speculative trading Computer-based Trading Simulation – long-term ▪▪ Long-term trading with electricity, fuels and emission certificates ▪▪ Comparison of base and peak contracts ▪▪ Hedging open positions ▪▪ Storage credit and emissions management ▪▪ Credit limits and credit risks

MODULE 5: RENEWABLE ENERGIES IN THE POWER MARKET Module 5 focuses on the main features of future power systems and markets with a high share of renewable energies. Thereby the German energy transition (“Energiewende”) serves as an example and lessons learnt will be discussed and adapted to new markets. Potentials and challenges of the strategic process of market transformation as well as of new technologies such as storage and blockchain will be discussed.

The role of renewable energies in liberalised markets and their integration as well as potential.

Foto: ctvvelve/ Fotolia.com

AGENDA MODULE 5 German energy transition: how to achieve the “Energiewende“ Challenges for energy providers ▪▪ Overview and history of the energy concept and the energy ▪▪ Changes within the structure of the power plant fleet transition ▪▪ Dealing with fluctuating electricity feed and grid ▪▪ Support mechanisms for renewable energies expansion planning ▪▪ Storage technologies – significance today and in the future ▪▪ Reactions to the energy transition: Investment and ▪▪ Demand flexibilisation decommissioning plans of the future ▪▪ Electricity market design – What does the future hold? Renewable energies at the electricity market ▪▪ The effect of renewable energies on the electricity market ▪▪ Marketing opportunities for renewable energies ▪▪ Business models and development

New technologies: opportunities and challenges ▪▪ Storage technologies – Overview, usage and market development ▪▪ Blockchain – Making energy providers redundant? ▪▪ Connecting the dots for a future power system

ABOUT ENERGY BRAINPOOL Energy Brainpool is the independent market specialist for the energy sector with a focus on electricity and energy trading in Europe. Our expertise includes analysis, forecasting and modelling of energy markets and prices, scientific and practice-oriented studies, individual consulting as well as training for the energy sector.

Analysis ▪▪ Spot price forecast ▪▪ Forecasts on control power and individual price forecasts ▪▪ Fundamental Energy Market Model Power2Sim ▪▪ Scientific studies on the energy market design, development of electricity prices and price components as well as influences of renewable energies

SELECTED REFERENCES

Global Investors

Individual Consulting ▪▪ Trade strategies, risk, portfolio and procurement management ▪▪ Development and optimisation of marketing strategies and business models ▪▪ Electricity trade and marketing

Training ▪▪ Open and in-house seminars, workshops and management trainings on current topics of the energy sector ▪▪ Management and face-to-face training ▪▪ Practice-oriented simulation games for energy trade ▪▪ Workshops for players of international energy markets