Energy markets

Energy markets are where the trading for energy products takes place. These are the places where products such as electricity, oil, gas and coal and their derivatives are bought and sold. Energy markets are often divided into physical markets and financial markets. The physical market trades the physical commodity, i.e. agreements about the delivery of electricity, oil or gas, while the financial market trades the contracts that control the financial risks of trading on the energy markets.

The establishment of energy markets has become a normal means of achieving more competition and greater efficiency in the supply of energy and thus reduce costs for energy users. The deregulation of the electricity supply industry and the introduction of competitive power trading and network operation have also caused changes in how decisions are made that affect the power producer, the owners of the power network and consumers.

 SINTEF has built up relevant expertise for all levels in this restructuring process. Considerable effort has been put into developing software for the new power market and we have produced dedicated tools for planning, power trading, network operations and end use. The expertise and methods that have been developed can also be transferred to other sectors such as the natural gas market. 

Foto: Norwegian Gas Carriers