Energy Price Risk Management

Energy Price Risk Management

Control energy price volatility like a bank using SourceRisk™, a proprietary risk managed sourcing solution that manages risk dynamically through your supplier agreements.


Energy Price Risk Management


If your company spends $5m or more on either electricity or natural gas, the business case for risk managing energy procurement is much clearer.  As energy market price volatility increases, the underlying risk to your cost base deserves more sophisticated tools to protect you than simple fix or float methodologies.

While the price of commodities such as fuels can be volatile in the short term, they can also follow long cycles meaning that prices can remain elevated or depressed for extended periods of time. As a result, commodity price volatility is a key risk to companies that directly produce commodities or use them as an input.

To address this, Vervantis apply the tools and skills commonly found in banks and energy suppliers to accurately measure an organizations value at risk and, using proprietary supply agreements negotiated with energy vendors, transact dynamically under a carefully crafted procurement process.

Dynamic transactions made physically through proprietary supply agreements allow organizations to alter the percentage of their portfolio that is fixed or floating at any point in time.  This fine tuning ensures goals are met with a clear understanding of, and careful watch on, the underlying value of the risk being taken.

The Vervantis leadership developed and pioneered this approach specifically for energy consumers almost twenty years ago, a process which complies with all accounting or auditor led directives (SOX, Dodd-Frank, IAS39, FAS133 etc) affecting an end-users risk management of energy commodities.

Energy Risk Management

Energy consumers with sites in markets or regions with no competitive sourcing can still get cheaper rates. Vervantis has proprietary models which accurately analyze and compare thousands of regulated utility rates against your facilities load profiles, creating savings recommendations in hours.

Vervantis create a strategic environment with supply contract structures to centralize decision making ensuring organizations can act on advice and intelligence quickly across all territories. Our specialists follow a proven process using intelligent segmentation and utility rate analysis to increase competition and savings.

The need for organizations to access and evaluate energy data on demand has never been greater, especially while sourcing.  Vervantis enables this using its secure cloud-based platform DataHub360™ which allows organizations to view and report on their energy, utility, sustainability, and bill management programs instantly.

Utility bill management automates the collection, payment, and validation of invoices.  The speed and accuracy of payments, exception resolution and open close management from our team of billing experts make late payment fees and disconnections a thing of the past.  A financial-grade utility dataset supports utility management programs and helps accounts payable teams lower administration cost by up to 75%.

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Years Being Used

In Multiple Countries

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NA States can Participate

and over 50 countries

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Years of Experience

We know what we're doing.

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No one treated the same

You'll never be a number!

Whether you’re a seasoned professional, or sourcing energy for the first time, our team has the knowledge and insight to improve your process and save you more – guaranteed!