Procurement & Risk Management

Energy prices are growing increasingly volatile.

The importance of fundamentals (i.e., supply and demand) appear to be waning while non-fundamental factors – geopolitics, monetary policy, and technology – look to be increasing. In deregulated markets, businesses need to answer three critical questions – when to purchase (timing), how far out to purchase (duration) and how much to purchase (exposure). In this environment imprudent decisions can be very costly. To help businesses meet this challenge, NUS provides Procurement and Risk Management services. As part of this service, NUS develops a customized Energy Risk Management Plan (ERMP) for you based upon your risk tolerance and sourcing objectives. As required, NUS prepares and issues RFPs to secure supply offers from energy providers. These offers will be reviewed, ranked, and, with your approval, the selected offer will be implemented. Finally, NUS monitors markets, notifying you when prices reach your ERMP price triggers and affect agreed energy purchases.

Buy

When to Buy?

In a deregulated market timing is key. With volatility rising, making buying decisions is becoming more challenging. We continuously monitor pricing, communicate with suppliers and assess market moving developments, so we can help turn this challenge into an opportunity.
Duration

What Duration?

Like other traded commodities, energy prices are effected by how far into the future you purchase them. As part of our ERMP we will identify the appropriate purchase duration based upon your risk tolerance, sourcing objectives and energy prices.
Exposure

How Much Exposure?

Once you decide to buy, the next question is, how much? As part of our ERMP we will identify the appropriate amount of your energy requirements to purchase based upon your risk tolerance, sourcing objectives and energy prices.