When Genscape’s Market Intelligence business was founded, its core mission was bringing transparency and better predictions to market participants that were trading swap indexes for balance of day and next day electricity products at liquid hubs. As power trading activity has expanded, we’ve seen more and more customers trading products such as virtuals, up-to congestion, and less liquid hubs. In addition, we have witnessed large purchasers of electricity and asset owners seeking to utilize our predictions and analysis of market fundamentals to optimize their assets and portfolios.
In order to best serve these newer trading areas and newer sets of customers, we set out 18 months ago to rebuild the analytical engine that drives our analysis. This new system, called SEER, offers the following benefits:
- Establishes a best in class capability to model congestion so that we can predict prices at multiple hubs/zones
- Integrates the process of modeling day ahead and next day real-time markets so that connections between the two markets can be more fully examined
- Directly integrates with information from our PowerRT and TransmissionRT monitors to enable fast recalibration and daily benchmarking of the model to increase accuracy
- Increases the speed and efficiency of our analytics so that Genscape will be able to migrate to more frequent forecast updates
SEER launched at the end of February for our PJM PowerIQ service. Over the next year we will roll it out to all our other regional services and hope to ultimately make this web-based modeling platform available to customers to run their own sensitivity analysis.