Trading and Supply

Trading and Supply Blogs

How does electricity get traded?

How does electricity get traded? The wholesale electricity market is where generators and suppliers buy and sell electricity. Suppliers wish to purchase enough electricity to meet the demand of their customers. Generators can sell the electricity produced by their power stations on the wholesale market. The trades can be completed on an exchange (ICE and…

Power Purchase Agreements (PPA’s)

Overview Power Purchase Agreements (PPA’s) are an agreement between the owner/developer of an asset that produces power (electricity), and a company who wishes to buy the power from the asset. Contract lengths generally range from short-term 1-year to long-term 15 years and more depending on the type of asset. The advantage to the owner of…

Why are energy suppliers going out of business?

Market Overview Historically in Great Britain, the ‘Big Six’ have dominated the retail electricity market (British Gas, Npower, Scottish Power, SSE, EDF and E.ON). Small suppliers have disrupted this dominance in recent years,  with the market share of the ‘Big Six’ falling from virtually 100% in 2011 to 73% in Q1 2020[1] (accounting for OVO’s…

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