What we do
We access power station capacity (by supplying fuels in exchange for power) – transport power cross-border – and operate as a power trader.
We also have the flexibility to offer physical products that mimic power station dynamics and economics.
There is a natural synergy with our existing activities in natural gas, coal and carbon emissions, and by combining these functions we are able to offer a full range of multicommodity physical management solutions to power plant owners and developers, utilities and large industrial users, generators and suppliers and new market entrants.
Where we do it
LET has developed physical and financial positions throughout Europe. This augments our existing power activity in the US, where we are active in trading power forwards and options in the eastern states for the LET Group. We are also active across the UK, France, Germany and the Benelux countries, with a reach that is broadening to extend into Italy with further expansion east and south east to come.
How we do it
Take, for example, an investor in a power plant who wants to lock in a fixed rate of return. LET might propose a solution whereby we take the power the plant generates in exchange for fuel supply and emissions credits. The investor gets the comfort of a margin over a defined term, and is protected from volatility on power prices and the fuel needed to produce it.
Our experience as an oil, gas and coal trader gives us a rare and profound understanding of the relationship between energy and fuel. We leverage this understanding to generate efficiencies, predict trends and develop effective long term physical risk management solutions.