ccro
ADVANCING PRACTICES FOR RISK PROFESSIONALS IN THE ENERGY INDUSTRY
6795215148_8384e6e4b3_b.jpg

Upcoming Events

The CCRO hosts four in-person meetings every year.  The location varies in order to be close to our members that are located around the US & Canada.
Members and their invited guests are welcome to attend.  Others can request an invitation from Bob Anderson.

Back to All Events

CCRO Q3 2018 Members MeetingOttawa


CCRO Meeting September 26th & 27th, 2018

Our Venue for Both Days:

OFFICE OF BROOKFIELD RENEWABLES
41, Victoria Street, Gatineau, QC J8X 2A1

Evolution board room, ground floor


Can’t be here? Want to be a CCRO guest and participate over the web?...

This meeting will be primarily CCRO members.  However we encourage guests that are interested in the CCRO and in this meeting in-particular.  If you would like to request an invitation to join us on-line - please contact Bob at info@ccro.org and I will send you an online registration e-mail…


~ Afternoon Sep 26 ~

Day 1: CCRO Initiatives Day; Summary of the afternoon's timing:

The day starts at 11:00 eastern time - ...with members catching-up over lunch
12:30 to 5:00 Members Discussions - General round-table discussions regarding topics below
5:30 - Cocktails Continue unfinished discussions / start new ones, informally
7:00 - CCRO Member & Guest Dinner - Enjoy a dinner together with new & old friends


11:30 Eastern Time

Networking lunch gets things started

Catch-up with your fellow CCRO members, meet some of our guests

Sponsored by
Brookfield Renewables


1:00 Eastern Time

Welcome and Introductions

Meet the CCRO members and our guests; anti-trust statement

Bob Anderson
CCRO Exec Director


About Brookfield Renewables – Our Host

Frederic will briefly introduce Brookfield and their businesses

Frederic Verlez
SVP of Enterprise Risk Management
Brookfield Renewables


1:30 About One of our Host’s Risk Practices

Brookfield’s Trading Area Operational Risk Program

Oded will review how Brookfield is addressing a wide range of operational risks across his trading area in Gatineau.

Oded Hirsch
Vice President, Energy Risk Management
Brookfield Renewable
A CCRO Guest


2:15 - The Retail Risk Management Standards Group

Our Retail Risk Management Standards White Paper

A Full Draft of Section 3: "Creation of Retail Risks" is Emerging

After reaching an ideal overall structure for this comprehensive paper, and completing fifteen webinars with interested CCRO members, the retail risk management group “Phase One” team has developed section 3 into a near-complete draft.  

The comprehensive Section 3 document addresses the "Creation of Retail Risks", for power and gas retailers.  It also provides for an organized taxonomy of all risk types and discussion of them.

We will take a close look at this robust draft as well as discuss new developments in the project plans and team.

Amir Andani
CRO, Just Energy
A CCRO Member

Retail Group Co-Chair

Frank Caliva
President, PR Quinlan
A CCRO Advocate Member
Retail Group Principal Editor

Michael Sergeev, 
President, Deca Energy
A CCRO Member
Retail Group participant


3:00 - New “Credit Risk Council”

Credit Risk Management Practice Standards

A new CCRO Initiative Gets Under-way

The CCRO membership agrees that since our first credit risk publication in 2002, credit risk management practices have evolved in a number of important directions.  In these past fifteen years:

  • New technologies have emerged making complex analyses more practical

  • New mitigation instruments are now offered by new service providers; while others have faded in use

  • New sources of credit risk have emerged, particularly from emerging industry segments such as retail energy  

 


Morgan Davies

Managing Director, 
Alliance Risk
A CCRO Board Member

 Nigeria Bloczynski
Head of Corporate Risk Management, WGL
A CCRO Board Member

This new CCRO group is forming quickly, by first establishing the leadership group of credit-practitioner members.  In addition, we want to  invite the appropriate credit solution providers as CCRO advocate members to provide expertise and resources needed to tackle research and carry-out case-example credit analyses for the paper.  The wider team of credit professionals participating as editors is expected to incorporate a wide cross-section of industry and specialties.

ccro_short-small.jpg

CCRO welcomes the International Energy Credit Association (IECA) to this initiative.
CCRO and IECA will be working together to advance development of this set of white papers as well as related events & training...

IECA logo.png

3:30 The KRI Group

Benchmarking Key Risk Indicators

The Leadership Shares their Best Practice Procedures and Policy for this Benchmarking Service

Many members have indicated they do internally measure and report their own KRIs.  They also indicated that the value of these measures is limited because they can only be inward-looking, measuring only their own numbers and trends.  However, benchmarking to industry peers would dramatically increase the value of KRI measures by bringing a sense of what numbers and trends may be "best" or "worst" in-class KRI results.  With external KRI benchmarking, a CRO's reports can make a much more compelling case for internal change initiatives.

For Discussion at this meeting: Our CCRO Member-driven Solution.  Taking constructive action towards solving this situation, the CCRO's KRI working group is striving to create an entirely new database of anonymous industry KRI benchmarking statistics, particularly in the area of operative risks.  Proof of concept of this database and an associated cloud-based reporting tool has already begun.  

At this meeting, the group's leadership team will be hosting discussions about the latest developments in this initiative and reaching-out for more participant companies.  By joining as a participant in this group the KRI benchmarks become more robust overall, and your company will gain access to the results data through the cloud-based viewer.

  • Current status: participants, access to viewer, clarifying data being submitted, periodicity of data, etc.

  • Practices for gathering the necessary internal data

Joe Zappia
Senior Manager, Corporate Risk Assessment,
EQT Corporation
A CCRO Member

Malinda Prudencio
CRO
The Energy Authority
A CCRO Board Member

Roderick Austin
Director, 
Cube Logic
A CCRO Advocate


4:!5 The Commission on Compliance

New Initiative: Best Practices for Trade Area Monitoring

Compliance with CFTC regulations related to commodity trade orders and related patterns

Jack Yeager
Risk & Compliance Expert, 
Whitley Penn

Mike DeLaval
Trading & Markets Expert
Whitley Penn

We are excited to be proposing a very important initiative addressing the broad subject of trade area monitoring as part of managing operational risks.  Today’s discussion will focus on risks of non-compliance with complex CFTC regulations concerning trading tactics.  These regulations cover exchange trades AND all swaps, companies with trading activity of any size, and retailers as well as their credit providers…this area is for virtually all CCRO member companies. 

The discussion Jack and Mike have developed is an interactive exercise that is designed to help members:

  • Understand what they are up against and what they can do about it

  • Gain a real sense of the urgency associated with addressing this specific risk

  • Better appreciate how much we don’t know right now to be able to do this effectively

  • Identify how the CCRO can help advance industry practice in this area

A note: Our November CCRO meetings will be centered around compliance issues, with this being an important one of those. Join in this engaging and informative discussion to kick off our next steps in this area.

 

 5:00 - 5:15

Tour of the Brookfield Renewables Trading Floor

Frederic has volunteered to open the trading floor for us to have a walk-through and Q&A session...

Brookfield_Interior_Small_ copy.jpeg

Evening: Cocktails followed by dinner 

5:30 - Cocktails at Andaz Hotel’s rooftop bar

Head upstairs to Copper Spirits & Sights and take in a view like no other. Located on the 16th floor of the hotel, this premium lounge boasts the title of city's tallest rooftop bar.

  Copper Spirits & Sights   325 Dalhousie St Ottawa, K1N 7G1

Copper Spirits & Sights
325 Dalhousie St
Ottawa, K1N 7G1

7:30 - Dinner at the “Social” restaurant

Continue discussions at our members and guests dinner, just down the street from the Andaz.

  Social  - 537, Sussex Drive, Ottawa, K1N 6Z6

Social - 537, Sussex Drive, Ottawa, K1N 6Z6

 
ReedSmith.png
CubeLogic_240px.png
WhitleyPenn.png
cquant-logo-blue.png

~ Full Day Sep 27:  ~

Day 2 Symposium: Risk Management Methods for Renewables 

Want to be a CCRO guest at this Symposium?...

This symposium will be primarily CCRO members.  However, we welcome guests that are interested in the CCRO and in this meeting in-particular.  If you would like to request an invitation to join us - please contact Bob at info@ccro.org

Summary of the day's timing:

Coffee at 8:30 - If you weren't too late last night...
9:15 to 2:00 - Symposium


9:15 - Brief new business update during coffee

Quick update on the CCRO Survey of Industry Practices…

  • Our goal is to publish in October...

  • We are seeking members that would like to test the on-line subscription service…

Bob Anderson
CCRO Executive Director


9:30: Risk Management Processes for Large Renewable Energy Capital Projects 

CCRO members have expressed interest in exploring best risk management practices  when developing large scale renewable energy projects (e.g., wind, solar, geothermal, and battery storage projects).  This discussion explores the similarities and differences between more conventional energy project risk management practices and those necessary to ensure the success of large scale renewable energy projects.

Following are several project management topics we’ll explore:

  • Assessing Project Drivers (Customer Demand, Public Policy, Other)

  • Business Strategy and Decision-Making Criteria

  • Project Planning & Administration 

  • Financing, Credit, Market Pricing & Currency Issues

  • Vendor Due Diligence, Selection & Contracting

  • Regulatory Pre-Approvals (Cost Recovery, Siting, and Permitting)

  • Construction, Third Party & Contract Administration

  • System Energizing and Delivery

  • Post-Construction Reviews & Approvals

 

Tom Birmingham,
VP Compliance, Emera
A CCRO Member

Malinda Prudencio,
CRO, The Energy Authority
A CCRO Board Member

Pam McKinnon,
VP, Emera
A CCRO Guest


10:30 - Mitigation of On-going Risks of Renewable Energy Assets

(Risks that may need to be addressed during the project planning stages to secure financing)

  • Projecting future generation output and its variability

  • Hedging of forward revenue streams

    o  Energy

    o  Capacity

    o  Environmental Attributes

  • Variability of generation output

o  Determining forward volumes to be hedged

o  Implications for hedge program design across revenue streams (energy, capacity, environmental attributes)

  • Implications for daily bidding strategy

 

Niraj Shah,
CRO, Munich Re Trading
A CCRO Member

Steve Kleege (Remote),
Director, Veritas
A CCRO Advocate Member


11:30  Light lunch served… we resume discussions during lunch


11:45 - Brief Update on Regulatory Issues Presenting Risks for Renewables

Morgan will walk through some significant changes in Canadian regulators & regulations

Morgan Davies
Managing Director
Alliance Risk
A CCRO Board Member


12:00 - Risk Tolerance and the Holtwood Dam Safe Harbor Rules

A Case Study

Brookfield Energy’s risk group has helped the company optimize revenues while managing risks at this large renewable asset… Join the discussion as the leader of this risk analysis project walks through the challenges and results.

Bruno Benedetti
Manager Hydrology and Optimization,
Brookfield Renewables
A CCRO Guest


12:30 - Risk Systems that Handle Renewables Exposures...

  • What are the challenges to ETRM systems when a renewable asset, or portfolio of assets, is involved?

  • What approaches are available to tackle these challenges?

Roderick Austin,
VP Business Devt, Cube Logic
A CCRO Advocate Member


1:30 - CCRO Meeting Closes.  Thank you to all our members & guests that participated!

Earlier Event: June 19
CCRO Q2 2018 Members Meeting
Later Event: November 29
CCRO Q4 2018 Members Meeting