Jul
04
2018

Freedom from Worry

Recently, Energy Fairness asked Andy Whitesitt, Vice President of Business Development & Customer Service at ACES, to talk with us about hedging basics.

We hope the following Q & A interview will help you understand how utility hedging programs work to remove some worry about future costs. Next week, we’ll follow up with some additional insights about this common business practice many utilities routinely deploy to protect consumers.

Can you provide a 101 explanation of hedging?

Hedging is simply locking in the price of a commodity in order to reduce the risks of potential impacts. When electric utilities use

May
30
2018

Natural Gas Hedging - Smart Tool for Diverse Energy Portfolio

PACE thanks Morning Consult for publishing this op-ed as original content. https://morningconsult.com/opinions/hedging-smart-tool-diverse-energy-portfolio/.

As the U.S. energy portfolio continues to diversify, the tools and tactics electric utilities use to protect consumers and stabilize costs must keep up with the times to accommodate the growth of natural gas, renewable resources, storage and other innovations.

One of the most critical tools is hedging, a fact frequently discussed and underscored by state lawmakers. As an example, Missouri recently passed Senate Concurrent Resolution 43 that reaffirms the state’s policy of allowing electric utilities to hedge natural gas contracts and supports

Apr
04
2018

Hedging Protects More than Just Energy

Brian Munzlinger is a member of the Missouri State Senate, representing District 18. He recently introduced a resolution, which is advancing in the Missouri Senate, to educate consumers and fellow lawmakers about the benefits of allowing utilities to hedge fuel inputs. His April 2 op-ed in the Hannibal Courier-Post appears below as a PACE guest blog.

Brian Munzlinger: Hedging Protects More than Just Energy – Opinion – Hannibal Courier – Post – Hannibal, MO.

http://www.hannibal.net/opinion/20180401/brian-munzlinger-hedging-protects-more-than-just-energy

Just like for any good or service that depends on commodities, power prices are linked to the costs of generation fuels. For years now,

Mar
13
2018

Show-Me State Legislators Show Value of Hedging

Later this week, PACE will offer testimony to the Missouri House of Representatives Utilities Committee highlighting why natural gas hedging helps assure consumer electricity prices are stable and predictable.

In February, PACE testified to a key committee of the Missouri Senate. Our goal was and is supporting a pair of resolutions (Senate Concurrent Resolution 43 and House Concurrent Resolution 87) introduced earlier in the session by Sen. Brian Munzlinger and Rep. Rusty Black.

Each resolution urges the Missouri Public Service Commission to continue allowing the state’s electric utilities to prudently hedge natural gas contracts, through financial means or by taking

Dec
21
2017

Winter's Arrival Highlights Value of Natural Gas Hedging

Today’s guest blog is by Andy Whitesitt, Vice President, ACES Power. ACES Power is a national energy management company which helps its members and customers buy, sell and manage energy more efficiently and with less risk.

For the past 15 years, I’ve been responsible for procuring fuel for power generation across the U.S. Therefore, I’ve learned firsthand what volatility in natural gas prices does to power prices and ultimately the rate that end-users pay for their electricity. Natural gas hedging provides a tool to help reduce some of this volatility.

Based on my experience with hedging natural gas for

Nov
30
2017

Hedging, Natural Gas and National Security

PACE Guest Blog By Captain Leo Goff, Ph.D., Captain, US Navy (Ret.) Even when energy markets seem calm and stable, utilities use price and supply risk management tools such as hedging to maintain predictable fuel supplies and prices. This is part of the obligation to serve and the duty to maintain reasonable prices for end-use electricity customers. Hedging natural gas, however, will become even more important over the next decade because of global market pressures and geopolitical concerns.

Over the next two decades the global energy landscape will change dramatically. The way the United States manages its vast energy resources

Oct
26
2017

PACE Natural Gas Hedging Panel on Facebook Live Today

At the start of October, PACE debuted a short video drawing attention to the importance of natural gas hedging as a tool for keeping power prices stable and affordable. We also highlighted how natural gas increasingly plays a pivotal role in national security.

Our two experts, Andy Whitesitt of ACES, and Dr. Leo Goff, will appear with me in Washington, D.C. this evening for a short, informative panel session to expand on these topics.

You can watch our discussion on Facebook Live beginning today, Thursday October 26th at 5:30 p.m. EST. Just go to https://www.facebook.com/EnergyFairness/

Oct
04
2017

Natural Gas Hedging Works for Customers

Earlier this year, PACE reported on the importance of natural gas hedging as a tool for keeping power prices stable and affordable. With debate continuing about the role of natural gas in our country’s power generation portfolio, we think it’s timely to revisit the topic.

Last month, we asked two experts to share their views on why using natural gas makes our nation more safe and secure, and why allowing utilities to hedge natural gas purchases makes good business sense and protects consumers.

You can see a short excerpt from our conversation here:

Natural gas is now