Affiliated Power Purchasers International, LLC

APPI News

Natural Gas Management

The deregulated natural gas market continues to evolve and has become more complicated and volatile. In addition to on-going, and at times significant changes in this market, the issues related to credit have impacted the suppliers, creating additional costs and validation requirements that are passed-on to the consumer. Many consumers are unaware of and/or not prepared to deal with these market issues.

natural gas procurementThe process of monitoring and selecting suppliers, developing and adapting a strategy to manage natural gas supply, and the execution, administration, and tracking of supply contracts can require a significant investment of time and can be a substantial budget item fraught with unpredictability and unnecessary costs. Determining an effective natural gas procurement strategy that fits the client’s operational needs and management style is critical. Just as important is the ongoing management of the supply process after the strategy has been set and supply contracts have been implemented. APPI provides its Clients guidance and assistance at each step as it supports Clients in a customized consultative manner.

APPI monitors the natural gas market for best times to renew, extend, or modify supply contracts.  APPI often structures supply strategies to maintain flexibility, working with the Client to capture opportunities, to avoid poor timing, and to achieve target price levels that meet budget goals.  Strategies are created based on risk assessment, budgetary goals, market conditions, and timing. This requires careful analysis and follow-up, not guesswork.

Our intent is to provide you, APPI’s Client, complete support throughout the term of our entire relationship as together we determine the best approach for you to procure, manage, and service natural gas for each of your facilities. In short, APPI can serve as your “energy department or team without adding additional fixed staff costs”.