User's Guide to Natural Gas Purchasing and Risk Management
The planning which users must undertake if they are to properly manage their natural gas purchases has become quite complex. This book explores the evolution of market changes and helps the reader understand ways of making the buying process more economical and beneficial.
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The Role of the Gas Marketer
Choices for Customers
Natural Gas Purchasing Options
Fuel Management in the Real World
Benefits of Effective Fuel Management
Fuels Utilization for Costeffective Energy Management
BackgroundFERC Orders 636 636A and 636B
Understanding and Using New LDC Supply Options
How a Local Natural Gas Distributor
Brooklyn Union Gas Companys
The Gas Industry Standards Board
PART 5 ENVIRONMENTAL STRATEGIES
Meeting the Clean Air
Meeting CFC PhaseOut Requirements with Gas Cooling
The Environmental Benefits of Natural
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absorption cooling air quality alternate fuel Arrow Park balancing benefits boiler capacity release changes charges chiller Clean Air Act cogeneration commodity competitive customer's delivery points demand deregulation develop electric cooling emissions end users end-user energy costs energy management equipment facility FERC firm transportation fixed price flexibility force majeure fuel cell fuel cell technology fuel manager fuel oil futures contracts gas market gas supplier gas supply gas users Harrah's HCFCs heat implement installation interstate pipeline issues load profile ment Montreal Protocol natural gas futures natural gas industry Natural Gas Purchasing needs negotiate nominations offer operating Order payback peak shaving penalties pipeline capacity pipeline's pollution potential production reduce refrigerants regulatory released capacity releasing shipper reliability requirements restructuring retail choice savings seller steam storage Swap Provider tariffs therms tion Title transportation service unbundling upstream pipeline usage WP&L
Page 7 - Identify your long-term supply options by considering these questions: • Is this purchase local, regional or national? • Do you want to aggregate all of your facilities, or will individual sites purchase their own requirements? • What degree of reliability is required to keep your operations on track? • Should you tie the purchase of natural gas and electricity together? • Would a Btu contract with fuel exchanges fit your facility's needs? • What, if any, value-added services, eg, conservation,...
Page 4 - This information can be obtained by past energy bills or the local utility. It is information to understand how you are being charged. Understand what the components of the bill are, including demand, transportation, transmission, energy, fuel charges. For electricity, know what time intervals are being used to calculate the peak demand, the times and days considered by the utility to be on-peak and off-peak, and annual ratchets.
Page 4 - Successful energy purchasing requires an in-depth knowledge of your operations needs and the qualifications of your potential suppliers. Awareness of these matters is important even if you're planning to use a consultant to handle this task, in order to direct such personnel and verify their performance. KNOW YOUR NEEDS Develop energy consumption data at each location by account. Lacking such data will make negotiations nearly impossible, and lack of information places the end user at a disadvantage...