Environmental Markets

Essentia Environmental Markets

Essentia’s Environmental Markets practice provides technical and advisory services to companies across the commodities landscape.  We apply our experience and expertise to help clients manage risk, optimize processes, and generate best in class performance from their commodities technology solutions

  • Essentia has deep experience across environmental markets
    • Global carbon compliance cap & trade and baseline & credit markets
    • Global carbon voluntary markets across standards; Verra, ACR, CAR, Gold Standard, etc.
    • Renewable energy and Renewable Energy Certificate (REC) markets
  • Essentia has developed the most intuitive and efficient structure for trading these markets in ETRM systems
    • Simple trade entry across instruments; Futures, Financial, Physical, and Inventory
    • Set up of curves and pricing structure to ensure clear and accurate valuation
    • Development of unique trade and inventory management solutions
  • Essentia has demonstrated and referenceable experience leading successful projects of this kind
    • Project management, research & training, registry application assistance, system configuration & testing, etc.
  • Starting from scratch, Essentia led the research and development on entry into Carbon markets for Capital Markets team
  • In OpenLink Endur, created optimal processes utilizing native instruments to align to market
  • Also in Endur, developed custom dashboards as well as trade and inventory management utilities to provide clarity and controls
  • Established pricing structure in Endur that provides efficiency to mark across aggregated groups, with the ability to mark at the granular level as needed
  • Documented and trained front office and support groups on market dynamics, operational flows, and Endur configuration and use
  • Assisted with registry application process for North American and Global compliance and voluntary registries

Environmental Products Initiation and Integration at Major Bank

Case Study: Carbon Market Experience

Case Study: Renewable Market Experience

Deployment of Allegro Horizon Environmental Products Module at Major Northeast Financial/Physical Trading Client

  • Essentia’s ETRM team recently implemented Allegro Horizon v.134 Environmental Products module, to support this client’s growing EP trading activities
  • System implementation included trade capture, deal valuation, price capture, inventory management, matching, settlements, MtM, invoicing, and downstream reporting for over 20 North American REC and Emissions products
  • Customized the Allegro Horizon EP module to fit client-specific requirements for sub-deal inventory receipt, valuation/MtM reporting, and matching Included ability to capture hourly and 15-minute unit-contingent RECs associated with Power+REC PPA agreements
  • Integrated Allegro with K3 to support capture and reconciliation of environmental Exchange trades
  • Essentia continues to provide ongoing systems support to this and other clients around the Allegro EP module