PTRM
Figure 3: CEP Technology
regulatedbyopeningandclosingvalves
supplying water turbines to match
variations in power demand. However, in
mostcountries,electricalpowerisprincipally
generated in thermal and nuclear plant.
Thermal plant has limited flexibility to turn on
and off quickly, or to modulate power output.
Nuclearpowerstationsareevenworseinthatthey
aremadeoperationaloveraperiodofseveralweeks
and then continue to generate power at a set rate,
twenty-fourhoursperdayformonthsonend.
As well as lack of storage, transmission constraints
also limit how power is traded. Few countries are
fortunateenoughtohaveagoodregionalbalancebetween
power generation and consumption. A hydroelectric dam
can only be positioned where remote, high-sided, non-
permeablevalleysexist.Thisisunlikelytocoincidewithlarge
industrialregionsandurbancentresthatarethemainpower latency connectivity to these venues and most firms do not
consumers.Coal-firedpowerstationstendtobenearcollieries want the IT overhead of building and maintaining links to
that supply their fuel and nuclear plants have been built in marketAPIs.Asthenumberoftradingvenuesandinstrument
remotesitesforobviousreasons.Theseparationofsupplyand types increase, so do the potential trading strategies. This
demand means significant investment in transmission grid becomesincreasinglydifficultfora‘Point-and-Click’traderto
networks. These grids have finite capacity and are subject to monitor. Conversely, a PTRM solution can automate this
periodic constraint in terms of power plant unscheduled monitoringacrossmultiplevenues.Howisthispossible?
outagesandfailuresoftransmissionswitchgear.
Limitedinterconnectionofnationalnetworksimposesfurther CEP Technology
challengesformarketparticipants.Thisconstrainstheflowof TheadventofPTRMtradingtoolsislargelyaconsequenceof
powerbetweenregionalandnationalpowernetworks.Inorder a technology known as Complex Event Processing (CEP). CEP
to get fungible power transmission between countries, isappliedtoaremarkablyeclecticgroupofbusinessprocesses
significantinvestmentininter-connectorsisrequired.Untilthat (Figure3).Initiallypioneeredinthelate1990sformilitaryand
happens, power markets and prices will have limited telecom applications, it has been successfully applied to
correlation between countries as geographical arbitrages various processes from vessel tracking and logistics to mobile
cannotbefullyexploitedbyinternationalpowertransmission. phonenetworkoperationsandenergygridmonitoring.
CEP changes the approach to how one monitors and acts
Exchange Connectivity upon real-time streams of information – be that the GPS
Whilst power markets are starting to mature within Europe locationsignalfromanoiltankerortradedataforanatural
onaregionalbasis,nationalpowermarketsarestillafactof gasfuturescontract.TheclassicITmodelistostorethedatain
life. As are the alternative OTC execution venues. For many arelationaldatabase,thenquerythedataretrospectivelyand
market participants, this act upon the results. CEP
necessitatesaccesstomultiple
Figure 4: CEP Paradigm Shift
shifts this data paradigm.
trading venues. This is a Insteadofindexingthestored
major operational headache data,CEPindexesthequeries
and trade execution and that perform pattern
clearing costs will be higher recognitiontasksonlivedata
since the individual streamsor‘events’(Figure4).
exchanges lack the economy By using pattern recognition
of scale that an integrated (or correlation) techniques,
single venue could achieve. CEP can monitor multiple
Additionally, in the event streams containing
derivatives markets, traders very large volumes of real-
lack the capital efficiency time data. Itcan monitor for
benefit of trade netting to pre-determined correlations
minimisemargincalls. and execute decisions within
Traders need robust, low milliseconds.
worldPower2009 89
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