Long / Moore / Wenban-Smith Gas Trading Manual

A Comprehensive Guide to the Gas Markets
2. Auflage 2001
ISBN: 978-1-85573-851-5
Verlag: Elsevier Science & Techn.
Format: EPUB
Kopierschutz: 6 - ePub Watermark

E-Book, Englisch, 600 Seiten

Since its launch in 2001, Gas Trading Manual (GTM) has established itself as the leading information source on the international gas market. Compiled from the contributions of some of the most senior and widely respected figures in the trade, this edition provides detailed and accurate analysis on all aspects of this complex business from the geography of gas through to the markets, trading instruments, contracts, gas pricing, accounting and taxation. This edition further enhances its reputation as the indispensable practical companion for all those involved in the trading of gas.

Autoren/Hrsg.

Long, David

Moore, Geoff

Wenban-Smith, Gay

Inhaltsverzeichnis

1;Front Cover;1
2;GTM: Gas Trading Manual;4
3;Copyright Page;5
4;Table of Contents;6
5;Introduction;12
6;Acknowledgements;13
7;Preface to second edition;14
8;Contributors;16
9;Abbreviations;22
10;Index;26
11;Part 1 : Introduction to gas trading;44
11.1;Chapter 1. Changing nature of the gas trade;44
11.1.1;1.1 Prologue;46
11.1.2;1.2 Definitions;48
11.1.3;1.3 Gas market structures;50
11.1.4;1.4 Developing trading markets;54
11.1.5;1.5 Gas and electricity;56
11.2;Chapter 2. Fundamentals of the gas market;58
11.2.1;2.1 Characteristics of the gas market;60
11.2.2;2.2 Natural gas;62
11.2.3;2.3 Demand, supply, and storage;78
11.2.4;Appendix 2.1 Transco Network Entry Quality Specification;96
11.3;Chapter 3. The geography of gas;100
11.3.1;3.1 Introduction;102
11.3.2;3.2 Supply envelopes;104
11.3.3;3.3 Europe;112
11.3.4;3.4 Asia;118
11.3.5;3.5 North America;122
11.3.6;3.6 Latin America;126
11.3.7;3.7 Liquefied natural gas (LNG);130
11.4;Chapter 4. The different markets for gas;132
11.4.1;4.1 Introduction;134
11.4.2;4.2 Continental Europe;136
11.4.3;4.3 United Kingdom;168
11.5;Chapter 5. Gas trading instruments;182
11.5.1;5.1 Introduction;184
11.5.2;5.2 Spot contracts;186
11.5.3;5.3 Futures and forward contracts;190
11.5.4;5.4 OTC derivative contracts;198
11.5.5;5.5 Swaps;200
11.5.6;5.6 Options;202
11.5.7;5.7 Weather derivatives;208
11.5.8;Appendix 5.1 Glossary of gas trading terms;212
12;Part 2: European gas markets;218
12.1;Chapter 6. UK traded gas market;218
12.1.1;6.0 Developments since 2001;220
12.1.2;6.1 Origins;224
12.1.3;6.2 Growth factors;230
12.1.4;6.3 Current structure;236
12.1.5;6.4 Recent trends;246
12.1.6;6.5 Future developments;256
12.2;Chapter 7. Prospects for competition in Continental Europe;258
12.2.1;7.0 The European gas industry in 2003;260
12.2.2;7.1 Introduction;264
12.2.3;7.2 The EU Gas Directive and beyond;266
12.2.4;7.3 Third-party access: customer pressure;270
12.2.5;7.4 The UK-Continent Interconnector;274
12.2.6;7.5 The new European marketplace;278
12.2.7;7.6 Conclusion: 'Not gas, but ideology;286
12.3;Chapter 8. IPE natural gas futures;288
12.3.1;8.1 The IPE;290
12.3.2;8.2 The UK gas market;292
12.3.3;8.3 The IPE natural gas contract;298
12.3.4;8.4 Using natural gas futures;304
12.3.5;8.5 Delivering natural gas;310
12.3.6;8.6 Future developments;314
12.3.7;Appendix 8.1 IPE Natural Gas futures contract;316
12.4;Chapter 9. UK gas trading contracts;322
12.4.1;9.1 Introduction;324
12.4.2;9.2 Beach contracts: performance;328
12.4.3;9.3 NBP contracts: performance;340
12.4.4;9.4 Price, billing and payment;346
12.4.5;9.5 Information and confidentiality;348
12.4.6;9.6 Assignment;350
12.4.7;9.7 Termination;352
12.4.8;9.8 Miscellaneous;354
12.4.9;9.9 Zeebrugge trades;356
12.4.10;9.10 Conclusion;358
12.4.11;Appendix 9.1 NBP 1997 terms;360
12.4.12;Appendix 9.2 Short-term beach trading terms and conditions;374
12.5;Chapter 10. OCM and the Network Code;390
12.5.1;10.1 Introduction;392
12.5.2;10.2 Operating under the Network Code;394
12.5.3;10.3 Imbalance and scheduling charges;400
12.5.4;10.4 On-the-day Commodity Market;406
12.5.5;10.5 Future of within-day trading;412
12.5.6;10.6 Conclusion;414
12.6;Chapter 11. Take-or-pay contracts;416
12.6.1;11.1 Introduction;418
12.6.2;11.2 Changing market structures;420
12.6.3;11.3 Take-or-pay clauses;426
12.6.4;11.4 Enforcement of take-or-pay obligation;434
12.6.5;11.5 Provisions of EU Gas Directive;436
12.6.6;11.6 Impact of EU competition law;442
12.7;Chapter 12. Gas pricing arrangements;448
12.7.1;12.1 Introduction;450
12.7.2;12.2 Price adjustment clauses;452
12.7.3;12.3 Price indexed gas markets;458
12.7.4;12.4 Price re-opener clauses;464
12.7.5;12.5 LNG pricing arrangements;468
12.7.6;12.6 Future developments;470
13;Part 3: Administration;474
13.1;Chapter 13. Running a gas trading business;474
13.1.1;13.1 Introduction;476
13.1.2;13.2 Energy trading and marketing;478
13.1.3;13.3 Internal control framework;488
13.1.4;13.4 Role of the gas trading function;496
13.1.5;13.5 Future developments;504
13.2;Chapter 14. Accounting;506
13.2.1;14.1 Introduction;508
13.2.2;14.2 Accounting guidance;510
13.2.3;14.3 General principles;512
13.2.4;14.4 Futures contracts;514
13.2.5;14.5 Forward contracts;526
13.2.6;14.6 Swaps;530
13.2.7;14.7 Options;538
13.2.8;14.8 Physical hedges;542
13.2.9;14.9 Disclosure requirements;544
13.2.10;14.10 Gas market issues;550
13.2.11;14.11 Conclusions;554
13.3;Chapter 15. Taxation of gas trading;556
13.3.1;15.1 Background;558
13.3.2;15.2 United Kingdom;560
13.3.3;15.3 United States;568
13.3.4;15.4 Singapore;576
13.3.5;15.5 UK taxation of trading instruments;584
13.3.6;Appendix 15.1 Articles from the OECD model tax treaty;588
14;Part 4: Gas and electricity;592
14.1;Chapter 16. Gas in power generation;592
14.1.1;16.1 Introduction;594
14.1.2;16.2 Power generation technologies;596
14.1.3;16.3 Economics of gas-fired power generation;600
14.1.4;16.4 Gas contracts;604
14.1.5;16.5 UK electricity market;610
14.1.6;16.6 Other power markets;616
14.2;Chapter 17. Convergence of gas and electricity markets;620
14.2.1;17.1 Introduction;622
14.2.2;17.2 Forces for convergence;624
14.2.3;17.3 United Kingdom;630
14.2.4;17.4 Continental Europe;640

Leseproben

Contributors

In order of appearance

Geoff Moore

Before his untimely death in July 2001, Geoff Moore was a Senior Associate Consultant at Gas Strategies, working on gas trading operations and the progress of liberalisation in Europe. He worked in the UK gas industry for most of his employed life, always at the ‘sharp end’, dealing with UK gas supply contracts, foreign trade and the major political issues. He spent many years in a senior role at British Gas analysing and negotiating gas purchase agreements. In recent years he was involved closely with the UK-Continent Interconnector pipeline and developments in the competitive gas market in both the UK and North America. He spent a year with Natural Gas Clearinghouse (NGCH) in Houston before joining Accord Energy Ltd (a major market maker in spot gas) back in London, where he worked as an employee and, subsequently, as a consultant for several years.

David Long

David Long is a Director of Oxford Petroleum Research Associates Ltd (Opra) and specialises in the operation and development of oil and gas markets. He is a regular contributor to newsletters published by Petroleum Argus Ltd and research reports published by the Centre for Global Energy Studies (CGES) in London. His interests include the development and application of new trading techniques in the oil and gas industries and he has been involved in the preparation of training material on swaps and options and the development of computer software for analysing oil price behaviour.

David began his career with BP in 1977, where he worked in Corporate Planning and Supply Departments. He then spent two years on secondment at the Oxford Institute for Energy Studies, studying the development of forward paper markets in oil, before joining the Institute as a Research Fellow from 1986 to 1989.

Gay Wenban-Smith

Gay Wenban-Smith is an independent economic consultant and Senior Associate at Gas Strategies (where she was Managing Consultant for five years). She advises on gas purchasing and commercial issues, and strategic assessments of changing market conditions. She is also a trainer on Alphatania gas business training courses. Before joining Gas Strategies, Gay spent twelve years at British Gas Headquarters, first as economist and corporate planner and then in gas marketing (sales of natural gas to the first combined cycle gas turbine power generator in Britain) and gas purchasing, and was active in policy decisions on the Interconnector. Before joining the gas industry, she was a member of the London Business School econometric forecasting team, moving on to the Government Economic Service in H. M. Treasury and the National Institute of Economic and Social Research.

John Hawkshaw

John Hawkshaw is Chairman of PEL International Gas (PELIG), the natural gas practice of Petroleum Economics Limited (PEL), a division of KBC Process Technology Ltd. John is a former Chief Executive of BP Gas. At PELIG he is involved in advising clients on fundamental gas market economics, regulatory issues, strategic planning and trading. PELIG’s clients include upstream producers, power generators, utilities and governments.

Philip Nutman

Philip Nutman is a Director in the Corporate Finance section of PricewaterhouseCoopers. He is an expert in the international gas sector and leads a team of gas specialists advising major companies and Governments on strategy and transactions.

Philip’s background includes six years with British Gas during the late 1980s to early 1990s negotiating gas contracts with the UK producers before moving into international business development, concentrating on gas-fired power generation. Prior to this he worked in the downstream oil sector for Petrofina (UK).

Sally Clubley

Sally Clubley is an independent consultant specialising in price risk management in the energy industries. She is a faculty member of Invincible Energy, an international training and consultancy company, with whom she is involved in developing and presenting public courses and in-house seminars on all aspects of business risk in the oil, gas and electricity markets. She is the author of Trading in Oil Futures and Options.

Caroline Harper

Caroline Harper is an independent consultant and manager working on short to medium term energy-related projects and electricity markets. She was previously Managing Director of Amerada Hess’s downstream operation, which she had built up from an idea through to a company that was sold to TXU. She began her career as an academic at Cambridge before joining the gas industry where she worked for over fifteen years. She was with British Gas during the challenge of privatisation and with Transco when it consisted of six people and a single fax machine. She left Amerada after the downstream gas operation was sold to TXU, spending the next six months or so travelling to far flung places that have yet to experience the joys of liberalisation or trading.

Simon Blakey

Simon Blakey is a Director of Cambridge Energy Research Associates (CERA) and a leading authority on the European natural gas and electric power businesses. He was the founder of CERA’s European natural gas and power research practice and heads CERA’s research on the natural gas industry in Europe. His research and consulting assignments cover a broad range of strategic issues for companies active or intending to be active in European energy. Before joining CERA, Simon was Special Assistant to the Executive Director at the International Energy Agency in Paris, having previously also worked for British Petroleum. Simon is the editor of CERA’s European Gas Watch. He holds an MA from Cambridge University.

Stephen Barraclough

Stephen Barraclough was responsible for the performance of the IPE natural gas futures contract from 1997 to 2002. He managed two extensions to the contract and, in 1998, added and launched daily contracts.

Stephen previously headed an Ofgas regulatory team responsible for the transportation rules which now govern the UK gas grid. Before that he held a number of physical distribution, supply planning, sales and marketing roles with Esso Petroleum. He installed the first computerised road vehicle product loading system in Britain and supervised rail, road, barge and sea physical operations. He also worked with BAA on the relocation of the Heathrow and Gatwick fuelling facilities.

Stephen holds a Combined Honours degree (1978) from the University of Aston and an MBA (1994) from the University of Surrey.

Jason Pegley

Jason Pegley has been with the IPE for seven years. He initially worked on enhancing and developing the existing oil futures contracts. For the last three years he has focused on European utility markets, managing first the development of the IPE’s electricity futures contract and more recently the transition of the IPE’s Natural Gas contract on to the ICE trading platform.

Previously, Jason spent six years at Petroleum Economics, an international oil consultancy, where he headed their crude oil desk.

Eldon Pethybridge

Eldon Pethybridge is with Accord Energy Ltd and a member of the Energy Markets Steering Group of the Futures and Options Association (FOA).

Mike Madden

Mike Madden is a Managing Director of MJ. Madden Consultancy Services Ltd (MJMCSL). Mike set up the independent consultancy in December 1994. Prior to this he worked for 13 years at British Gas, ultimately in BG Transco’s commercial unit where he was involved in the development of third party access from its beginnings in 1990 to the Network Code. Mike has advised companies from all areas of the gas market on a wide range of issues, including gas transportation contracts and tariffs, gas storage developments, competition and regulatory issues, gas purchase contracts, and market entry strategies. He is also author of a number of reports on the energy market.

Nick White

Nick F. White is Research Consultant at M.J. Madden Consultancy Services Ltd (MJMCSL), and also manages the Energy Training Network. Nick has been working as a consultant since 1997, specialising in research, writing and training across the energy industry. Recently published work includes reports on the New Gas Trading Arrangements, the EU Gas Directive, the impact of the Stricter Consents Policy and convergence of the global gas and electricity industries. Nick has also provided consultancy on a range of energy issues.

Michael Brothwood

Michael Brothwood is a Consultant with the international law firm, Denton Wilde Sapte working in the Energy and Natural Resources Group. He is experienced in the areas of gas buying, selling and transportation, EU energy law and the Gas and Electricity Directives. He was the specialist adviser to the House of Lords Committee reviewing the Gas Directive. He has also advised on EC and UK competition law. He is a member of the editorial boards of the Oil and Gas Law Taxation Review (OGLTR), and the European Law Review and a legal and economic expert on the EC Committee of Experts on the transit of natural gas. Before joining Denton Wilde Sapte (formerly Denton Hall) he was a legal adviser to the British Gas Corporation.

Neil O’Hara

Neil O’Hara is Managing Director for Business Development at American Electric Power (AEP). He was previously a Partner with Arthur Andersen and head of the European Energy Trading and Marketing Group. Before that he worked at British Gas, Dynegy and Accord Energy.

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