Elektro Energija has selected the Allegro 8 platform to manage its power trading operations. Elektro Energija required a fully integrated system to support the company’s growth plan by streamlining and automating business processes, including deal capture, confirmations, scheduling, settlement, accounting, position and risk management.
Elektro Energija is the biggest state-owned Slovenian utility, managing a portfolio of almost 300,000 consumers. Elektro Energija’s wholesale business unit trades electricity in Slovenia, Austria, Germany and some South Eastern Europe countries. Their business of regional power trading requires cross-border movements, including communication with various TSOs and Market Operators.
“Our main objective was to find a system that would support our future development in wholesale trading, automate our business processes, and improve position management and decision making,” said Elektro Energija´s general director, Gregor Božič, MSc. “Allegro 8 offers the strong functional support for position and risk management and enables a firm basis for effective cross-border power trading and efficient communication with national TSOs.”
Elektro Energija has completed the first of three phases of the software implementation and is currently leveraging Allegro’s solution to manage trade entry (tradebook), general agreement management, confirmation creation, price entry and portfolio management & risk management.
Allegro will help Elektro Energija meet their business goals, including:
- Ability to quickly and accurately capture power trades and to manage those trades including complex pricing, confirmations, settlement and invoicing;
- Optimal decision making with Mark-to-Market (MtM), Profit & Loss (P&L), attribution and market exposure reporting;
- Streamlined scheduling activities with customizable reports, support for TSO nomination formats and cross-border trading;
- Ability to mitigate credit risk with collateral management, counterparty exposure monitoring and advanced credit analytics;
- Security and access controls with the ability to set position limits, create role-based user profiling and maintain audit trails; and
- Extensibility to support integration and future software projects.