Trading Emission allowances has become a decisive driver for the reduction of Carbon Dioxide world wide, and in particular in Europe. However, for fossil fuel consuming utilities, it is an extraordinarily difficult task to decide when to buy and resell allowances, being exposed to uncertainties of
Facing this large number of uncertainties, it might happen that emission trading does not contribute to the overall profit but losses need to be compensated by other trading books or sales in the retail market.
The DT@Energy optimization is particularly capable to accommodate the optimization of emission trading decision into the mathematical model, besides electricity and gas forward trading and production scheduling. A combined optimization of operative decisions of these different business units into one single stochastic model will match decisions against each other in each of the future scenarios. For today's decisions, a set of actions on emissions books, electricity and gas books as well as power plant operation will result, that is optimal with respect to future uncertainties.
DT@Emissions is not only of interest for power producing companies but also for high heat or power consuming industrials that produce their processing energy in house. For example, aluminum smelters with considerable own power production or sugar plants with own heat production can improve their emissions management but also gas and power procurement decisions.