Jul
11
2018

Hedging 101, Part 2

This week, we continue our conversation with hedging expert Andy Whitesitt. Over two decades, and as a senior executive with ACES, he’s helped dozens of utilities smooth cost curves and mitigate risk. Hedging helps consumers across the country every day.

What’s the difference between financial hedging and physical hedging?

Financial hedging is locking in only the price risk by utilizing either a futures contract or a swap. After locking in the price, the utility still must go out and procure the natural gas needed to run the generation unit.

Physical hedging is a purchase of physical gas to be

Jun
27
2018

Energy Debates Help Summer Heat Up

Energy Fairness is on the road again, enjoying 110 degree highs in Phoenix. Back in D.C., energy debates are heating up the Beltway atmosphere, but we also found some bright spots to share.

The Senate is working on appropriations bills, but partisan divides mean that many “riders” aimed at rolling back rules and programs set in motion by the Obama Administration aren’t viable this year. For example, language that would halt the unpopular and sweeping “Waters of the U.S.” rule won’t be included.

With Energy Fairness now formally a part of the National Energy & Utility Affordability Coalition (NEUAC)