Miami, Florida, May 25, 2013
QuantRisk Corporation, a global provider of Trading and Risk Management software solutions for energy and financial markets, announced today that AboitizPower Distribution Utilities Group, Visayan Electric Company (VECO), and Davao Light and Power Corp., have licensed QuantRisk Release 2013.
Aboitiz Power Corporation (AboitizPower) is the holding company of the Aboitiz Group’s investments in power generation, distribution, retail, and power services. It is a major producer of Cleanergy, it’s brand for clean and renewable energy in the Philippines, with several hydroelectric and geothermal assets in its generation portfolio, as well as fossil-fired power plants located across the country. The company owns distribution utilities that operate in high-growth areas in Luzon, Visayas, and Mindanao. AboitizPower Distribution Utilities Group encompasses VECO, Philippines’ second largest utility, serving close to 400,000 customers with an estimated population of 1.73 million, and Davao Light and Power Corp., the country’s third largest utility, serving nearly 300,000 customers with an estimated population of 1.69 million.
With the opening of the competitive electricity retail market in the Philippines, AboitizPower sought a state-of-the-art enterprise system to integrate their trading across all divisions, front, middle and back offices, while providing advanced analytics and business support for its various subsidiaries. Implementing QuantRisk platform offers AboitizPower Distribution Utilities Group, the capability to:
- Streamline and automate all trading related business processes, from data acquisition to trade execution, settlement, billing, risk valuation and reporting.
- Integrate and replace many in-house systems, allowing transparency and real-time access to data, business processes and reporting.
- Perform real-time optimal decision making in terms of dispatch and nomination.
- Deliver real-time cash flow ad P&L computation across the company (generation, procurements and sales) and display in live screens.
Jaime Jose Aboitiz, VECO President and AboitizPower EVP-COO Distribution said,
After thorough investigations, we commissioned a “Proof of Concept” implementation of QR Release 2013, for a period of 2 months. The goal was to implement core functionality out-of-the-box. The POC was a resounding success in all its goals. The system was configured to handle wholesale trading, billing, invoicing and reporting for the Philippines hourly market WESM, as well as our bilateral OTC power procurements and sample retail contracts. QuantRisk Platform delivered outstanding performance in all areas of functionality. The advanced analytics offered very impressive precisions in forecasting load, and the dispatch optimization module was able to recommend very valuable trading strategies that we found to be possible to implement over time.
Aladino Borja Jr, AVP, AboitizPower Distribution Information Services said,
QuantRisk’s single platform provides AboitizPower distribution companies with a highly adaptable enterprise web-system, excellent business modeling capability, internal controls and audit, advanced analytics tools, all of which will enhance the overall performance of our daily operations, as well as long term strategic decision making.
QuantRisk is a Miami-based cutting-edge Trading, Analytics, and Risk Management software company. QR Release 2013 Energy Trading and Risk Management System (ETRM) offers these functionalities:
- Integrated centralized databases to consolidate and aggregate any and all data: nodal prices, meter, trading, financial, prices (energy, fuel, coal, FX etc), operational, SCADA, settlement, AR and AP data. User friendly web-interface to interact with the data. Retire multiple in-house systems and excel packages.
- Flexible trading system to capture and manage all transactions: financial and physical energy, wholesales nodal trading and transmissions within WESM (the Philippines ISO), bilateral physicals OTC and retail electricity contracts.
- Advanced data analytics tools are used in trading, planning, optimization, risk, cash flow and P&L forecasting. The models used are Artificial Intelligence for load and price forecasting, and curve fitting for forward curve building.
- Dispatch and nomination optimization for competitive energy markets, maximizing hourly profit while observing load and operational constraints.
- Portfolio and risk management allowing users to organize their business by any rules (generation, regions, trade types, customer types, commodity types, business objectives, etc.) for valuation: cash flow, P&L, mark-to-market, liquidity, Value at Risk (VaR), counterparty exposure and credit risk.
- Enterprise web-based reporting including live data panels, gathering and displaying various market data along with financials and P&L.
- B2B Customer Relationship Management platform (CRM) offering a web portal to manage all interactions with accounts receivable clients (Retail RES and contestable customers) and account payable counterparties, OTC bilaterals.