Tenaska Power Services Co. Implements Structure nMarket(R) in Preparation for SPP EIS Market Testing and Operations

Market Wire, February, 2006

Tenaska Power Services Co. (TPS) recently installed The Structure Group's nMarket® energy transaction management platform in advance of the Southwest Power Pool's ("SPP") Energy Imbalance Service ("EIS") market open.

The SPP EIS market will include an imbalance market for real-time energy. Locational imbalance pricing (LIP) will be utilized to ensure that the lowest cost assets offered into the SPP EIS market are dispatched. The EIS market will be settled hourly.

"Structure has proven to us that they can implement nMarket in a timely manner and support our activities for the next phase of SPP market testing," Trudy Harper, TPS president, said. "As we expand our ISO/RTO footprint, we will select the best product that meets our transaction management needs. To date, that product has been nMarket. Structure's software support is also one of the best we have seen."

"nMarket has successfully supported TPS's complex operations in Texas, the Midwest and now the SPP marketplace," Structure director Daryl Cote said. "With more than 100 installations -- six of those in SPP -- we are confident that nMarket answers the needs of market participants like TPS in a timely and holistic manner."

Structure's nMarket software platform provides bid-to-bill, straight-through processing for companies participating in predominantly physical markets. The product will assist TPS by performing all data communication to and from the market operator (submits, notifications, queries), warehousing real-time market decision support information (clearing prices, volumes/forecasts, meter reads, billing determinant information) and allowing TPS to bid directly into the various markets, perform shadow settlements and track disputes with SPP.

To further enhance a client's understanding of changing markets like the SPP, Structure will host a seminar April 11-12, 2006, at the Millennium Broadway Hotel in New York -- a seminar that will help market participants better understand the new business rules in competitive energy markets and the significant opportunities and liabilities for market participants. It is vital to understand how to best leverage intellectual, informational and technological assets to maximize profitability in these rapidly evolving markets.

The seminar will provide a step-by-step game plan to maximize profits and manage costs -- no matter what wholesale or retail power markets in which clients now participate or plan to participate. The program is designed for senior managers with responsibility for power trading, scheduling and settlement, ETRM and retail system design and operations, wholesale or retail power marketing and power market operations and communications.

SPP Participant Readiness Testing was a success for Structure clients because Structure made early investments in attending market readiness, tariff and protocol meetings to translate the rules into nMarket in time for the first market tests, according to Structure principal Stacey Wood.

SPP will administer more phases of market trials throughout the year. The parallel portion of market trials is anticipated in mid-March leading up to the final trials. Structure's nMarket product will fully support SPP's EIS market and the estimation and verification of settlements.

nMarket continues its dominance over competitors in the physical transaction space, providing market-leading bid-to-bill capabilities for effectively interacting with independent system operators and regional transmission organizations throughout North America. In less than six years, nMarket has gone from being an individual client solution for a unique market problem to the clear market leader in the ISO/RTO arena. With more than 100 installations to date, nMarket provides functionality for scheduling, bidding and settling more generation and load than all other competing commercial solutions combined. In addition, Structure is the only vendor that offers true multi-market coverage across every North American market.

About Tenaska, Inc.

Tenaska, Inc. ("Tenaska") is one of the largest independent power producers in the United States and in 2005 was ranked by Forbes magazine as the 22nd largest private company in the US. Tenaska has developed approximately 9,000 MW of electric generating capacity, and owns and operates plants with approximately 7,400 MW of generating capacity. Tenaska is headquartered in Omaha, Nebraska, with additional offices in Dallas, Texas; Denver, Colorado; Calgary, Alberta Canada, and at each generating station. Tenaska generating stations are located in the states of Alabama, Georgia, Oklahoma, Texas, Virginia and Washington, and in Bolivia and Pakistan. Tenaska affiliates market natural gas and electric power, and provide energy risk management services. Tenaska is also involved in fuel supply, gas transportation systems and electric transmission. Additional information regarding Tenaska is available at www.tenaska.com or by e-mail at power@tenaska.com.

About The Structure Group

The Structure Group is a leading provider of energy trading business solutions and consulting services to market participants in North America and Europe. Established in 1998, Structure has experience working with organizations in all stages of the energy value chain. Structure introduced nMarket® in 2000 to assist energy organizations with the bidding, scheduling, dispatch and settlement of energy trades and ancillary services in regional power markets. Power marketers who participate in the California, ERCOT, Midwest, New England, New York, PJM, SPP and Ontario markets are currently using the product. For more information about The Structure Group, visit www.thestructuregroup.com or contact us directly at contact@scgo.com.


 

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