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Streamlining Capacity Allocation for a Smarter Energy Market

Integrating Climate Science with Trading Systems for Financial Resilience

Transforming Climate Risk into Strategic Advantage in Endur

As the global energy landscape shifts toward decarbonization, energy firms worldwide are rethinking how they evaluate and manage financial exposure to climate change. Traditional risk frameworks, built on historical data, are no longer sufficient to capture the frequency or intensity of extreme weather events and regulatory transitions. Climate risk modelling, integrated within ETRM systems like Openlink Endur, addresses this challenge by combining predictive climate science with advanced market analytics to quantify both physical and transition risks. ETRM consultants at Value Creed leverage their deep expertise in Endur to help organizations modernize risk management, optimize portfolio hedging, and unlock new global opportunities in carbon markets, weather derivatives, and sustainable energy trading.

Navigating the Limitations of Traditional Risk Models

Traditional risk models are grounded in historical data, which can limit visibility into emerging climate-driven dynamics.

Limited Risk
Visibility

Underestimated Opportunities

Policy Preparedness Gaps

Strategic Decision Challenges

Optimizing Climate Risk Management with Value Creed

Value Creed embeds advanced climate risk modelling within Openlink Endur, integrating physical and transition risks across trading, hedging, and credit functions. This enables firms to enhance pricing accuracy, improve resilience, and capture new opportunities in carbon and weather markets.

Hedge Transition Risk

Our ETRM consultants use Endur’s Market Manager and RiskPak to model carbon costs in deal pricing and manage EUA Futures, helping portfolios adapt to policy and market changes.

Mitigate Physical Risk

We design and execute weather-linked derivatives, such as HDD and CDD contracts, to hedge against energy output and demand variability caused by extreme weather.

Enhance Credit Risk

Our ETRM consultants integrate counterparty decarbonization metrics into Endur’s Credit Risk Manager to manage high-emission exposures and align credit decisions with sustainability goals.

Integrated Data and Reporting

We connect external climate and market data directly into Endur for automated reporting, real-time insights, and a unified view of risk across the trading lifecycle.

Driving Business Value through Data and Insight

By embedding climate variables into Endur’s core trading and risk ecosystem, Value Creed empowers firms to accurately price climate-adjusted deals, such as PPAs and renewable contracts. The solution enhances portfolio resilience, enabling comprehensive hedging against both physical and transition risks. Beyond mitigation, it unlocks revenue potential through trading in emerging carbon and weather derivative markets, turning climate volatility into a source of strategic advantage.

Improved Capital Allocation

Scenario-based stress testing allows firms to reserve capital more efficiently, ensuring resources are aligned with climate-adjusted risk exposure.

Optimized Asset Utilization

Accurate modelling of weather and climate impacts allows operators to better plan generation schedules and optimize energy output from renewable assets.

Data-Driven Strategic Insights

Integrated dashboards and reporting give executives real-time visibility into climate risk impacts on P&L, enabling smarter investment and trading decisions.

Proactive Policy Risk Management

Firms can anticipate regulatory changes such as carbon pricing shifts or renewable mandates, protecting portfolios from sudden policy-driven shocks.

Enhanced Counterparty Selection

Climate-adjusted credit metrics reduce exposure to high-carbon counterparties, minimizing default risk and aligning trading relationships with sustainability goals.

Revenue Diversification

Firms can leverage climate-linked trading instruments to generate additional revenue streams while supporting ESG and net-zero objectives.

Building a Climate Resilient Trading Operation

Value Creed combines technical depth, risk advisory, and data integration expertise to deliver a future-ready approach to energy risk management. From designing custom models and implementing stress-testing frameworks to visualizing climate-linked P&L impacts, the firm ensures every component of Endur works toward measurable business outcomes. With Value Creed’s guidance, organizations can move beyond compliance, transforming climate risk into a competitive differentiator and positioning themselves for success in the evolving global energy market.

Climate-Endur

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