Energy Technology Top 10
acquisition of INSSINC and ROME is both a major stand-alone EnergyIT(ISV)CompanyDevelopments
opportunity and a bundled differentiator.
There continue to be significant energy recapitalisations,
mergers and divestments in this sector. These have significant
8.HedgeFundExpansioninEnergyTrading
implications for the procurement and deployment of energy
The multi-year expansion of hedge funds into commodities
solutions. The market has moved from new supplier creation, to
net contraction, through to consolidation. While some
and energy trading ameliorated significantly in 2008 and
consolidation has taken place there have been a few start-ups out
early2009duetobroaderissuesrelatedtothebankingmarket
of regional situations which could become significant players such
crisis and the hedge fund community. The hedge fund as EKA Software Solutions.
institution population will likely contract nearly 50% from the
EnergyAnalystics
peak number of institutions with particular challenges for In energy analytics, FEA (Berkley) has been amalgamated into
Fund of Funds. While the convergence of exchange and OTC Barra, which was subsequently bought by Morgan Stanley’s MSCI
markets and clearing of OTC markets by exchanges has
unit and then spun out. In North America, ZE Power (Vancouver)
facilitated hedge fund participation, the participation is likely
in analytics and data management continues to remain private
to remain refocused on the most liquid markets.
and grow along with many European energy analytics and
forecasting companies such as Delta (Basle). ZEMA is offering
more integrated decision based and data management.
9.FinancialInstitutionParticipation
Financial institutions were the fastest growing participants
DataManagement
In data management, SunGard FAME and LIM are expanding
in the energy marketplace. This was evidenced by ETRM
their enterprise value offerings to drive more growth. Others
software procurement by major international investment and
include ZE Power Group with ZEMA suite and DataGenic with its
commercial banks up until this past year. With low interest Genic suite of products.
rates for some period of time and lessened foreign exchange
TradeExecution
risk (especially in Europe) during the period prior to the credit In trade execution, most of the trading platforms – either stand-
crisis, commodities and energy exposure became a major risk
alone such as Orc Software (Stockholm), GL Trade (now SunGard)
challenge for utilities, industrial companies, transportation
(Paris), and Trading Technologies (Chicago), or platforms offered
companies, municipalities etc. and therefore a major
by exchanges – have extended into listed commodities contracts.
proprietarytradingandriskservicingopportunityforfinancial
Of important note, CME acquired NYMEX in January 2008
creating significant opportunities across electronic and clearing
institutions. During this time, financial institutions were also
platforms. GFI acquired Trayport in February 2008 with it’s
critical to hedge fund market access, as well as commodities
presence on 12,000 desktops. Trading Technologies (TT) has
and energy ETF creation.
expanded with connectivity to additional energy exchanges. Most
The global banking crisis commencing in the latter part of recently,TMXGroupinCanada,havingalreadyacquiredNGX,the
2007 and expanding since has led to significant changes in
Calgary energy exchange added to it’s energy presence with the
financial institutional trading and servicing, from Bear Sterns
acquisition of NetThruPut (NTP) an electronic platform and
and Lehman Brothers and impacts related to their prime
clearing facility for physical crude products.
brokerage operations, to the withdrawal of funds from hedge
ETRM
funds and the closing of many hedge funds.
In energy trading and risk management, there is no longer a
Themajorfinancialinstitutionswillremaincriticaltoenergy
major independent ETRM based out of the UK. HyperRig is a
relatively new start-up with professionals involved in prior ETRM
trading and to servicing both wholesale and retail client bases,
attempts. In Scandinavia, Navita (created out of a management
including a smaller hedge fund community. Highly structured
buyout of OMX (Stockholm) POMAX divestment and other energy
products and complex derivatives products in energy will be IT assets) and Viz Risk Management (Bergen) continue to expand.
challenged in terms of liquidity and volume. The focus will In North America last year, OpenLink Financial (Long Island)
remain on the physical trading markets with OTC products
after undertaking a recapitalisation of the company with TA
cleared by exchanges and exchange listed derivatives.
Associates (Boston) and the IRM acquisition prepared for a
potential IPO. The market meltdown through 2008 ended this
10.NewProducts
opportunityforsometime.IntheUS,ROME(Austin)wasacquired
by TriplePoint along with INNSINC giving it a significant lead in
Innovation will be limited by a different risk and regulatory
compliance assets (except for SunGard). Raft (London) was finally
environment going forward. But this will not mean less
soldtointernationalbankingsoftwarecompanyFinancialObjects.
innovationinmajorareassuchascarbontradingandweather And then Financial Objects was sold to Swiss based Temenos on
derivatives. Developments for cap-and-trade in the North
core retail banking. SunGard Energy will be interesting to monitor
American market bear watching carefully with strong backing
through 2009 in terms of potential changes.
from a new administration and totally Democratic legislature.
In middle-tier ETRM, Viz Risk Management raised capital and
Initiatives will lead to significant growth in carbon trading
continues to drive up the value-chain into the top-tier, replacing
aging KWI installations with their acquisition by Global Energy
near-term.
•
74 worldPower2009
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100 |
Page 101 |
Page 102 |
Page 103 |
Page 104 |
Page 105 |
Page 106 |
Page 107 |
Page 108 |
Page 109 |
Page 110 |
Page 111 |
Page 112 |
Page 113 |
Page 114 |
Page 115 |
Page 116 |
Page 117 |
Page 118 |
Page 119 |
Page 120 |
Page 121 |
Page 122 |
Page 123 |
Page 124 |
Page 125 |
Page 126 |
Page 127 |
Page 128 |
Page 129 |
Page 130 |
Page 131 |
Page 132 |
Page 133 |
Page 134 |
Page 135 |
Page 136 |
Page 137 |
Page 138 |
Page 139 |
Page 140 |
Page 141 |
Page 142 |
Page 143 |
Page 144 |
Page 145 |
Page 146 |
Page 147 |
Page 148 |
Page 149 |
Page 150 |
Page 151 |
Page 152 |
Page 153 |
Page 154 |
Page 155 |
Page 156 |
Page 157 |
Page 158 |
Page 159 |
Page 160 |
Page 161 |
Page 162 |
Page 163 |
Page 164