Glossary

A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z


A

  • ACQ
    Annual Contract Quantity
  • AEMO
    Australian Energy Market Operator
  • AER
    Australian Energy Regulator
  • AEU
    Australian Emission Units

B

  • Bearish
    Believing that market prices are about to fall
  • Bilateral Energy Trading
    Trading whereby two parties (for example a generator and a supplier) enter into a contract to deliver electricity at an agreed time in the future
  • Bullish
    Believing that market prices are about to rise

C

  • Calorific Value
    The ratio of energy to volume measured in mega joules per cubic meter (MJ/m3)
  • Capacitor
    An electrical device that can be used to oppose reactive power in electrical circuits.  The effect is to compensate for reactive power charges on consumers electricity bills caused by a poor power factor, reduce the current required and to reduce kVA demand.  Capacitors are the key component of Power Factor Correction equipment.
  • Carbon Footprint
    A carbon footprint is "the total set of GHG (greenhouse gas) emissions caused directly and indirectly by an individual, organization, event or product" (UK Carbon Trust 2008)
  • Carbon Offsetting
    A carbon offset is a financial instrument aimed at a reduction in greenhouse gas emissions. Carbon offsets are measured in metric tons of carbon dioxide-equivalent (CO2e) and may represent six primary categories of greenhouse gases.  One carbon offset represents the reduction of one metric ton of carbon dioxide or its equivalent in other greenhouse gases
  • CER
    Certified Emission Reductions
  • Certified Emissions Reductions (CER)
    A Certified Emission Reduction (CERs) is the technical term for the output of Clean Development Mechanism (CDM) projects, as defined by the Kyoto Protocol.  It is one method of Carbon Offsetting
  • CHP
    Combined Heat and Power
  • Climate Change Agreement
    Enables businesses in specific sectors to qualify for a reduction in Climate Change Levy in return for energy efficiency improvements
  • CO2
    The most well-known Green House Gas (GHG), CO2 is the main gas measured in emissions-reductions targets.  It’s presence in the atmosphere retains heat around the planet.
  • CPRS
    Carbon Pollution Reduction Scheme

D

Sorry but there are no glossary terms for this letter


E

  • Emission Reduction Units (ERUs)
    These are tradable units generated by projects in developed countries.  Each ERU is equal to one tonne of carbon dioxide equivalent gases
  • Emissions Trading
    Emerging as a key instrument in the drive to reduce greenhouse gas emissions.  Emission trading is to ensure that the emission reductions take place where the cost of the reduction is lowest thus lowering the overall costs of combating climate change
  • Energy Audit
    An inspection survey and analysis of energy flows in a building, process or system with the objective of understanding the energy dynamics of the system under study.  An energy audit is conducted to seek opportunities to reduce the amount of energy input into the system without negatively affecting the output.  Beyond simply identifying the sources of energy use, an energy audit seeks to prioritize the energy uses according to the greatest to least cost effective opportunities for energy savings
  • Energy Consultants
    Consultants who provide services to meet the needs of customers as help to manage energy and consumption costs
  • Energy Efficiency
    A measure of the outputs provided, compared to the energy input into a process. Using less energy/electricity to perform the same function improves energy efficiency. "Energy conservation" is a term which has also been used but it has the connotation of doing without in order to save energy rather than using less energy to do the same thing and so is not used as much today. Many people use these terms interchangeably
  • ERU
    Emission reduction unit
  • ESC
    Energy Savings Certificate past of the New South Wales Energy Savings Scheme
  • ESS
    The New South Wales Energy Saving Scheme
  • EUA
    EU Allowances

F

  • Forwards Contract
    An agreement to buy electricity from another party at a specified time in the future at a specified price with money changing hands at the delivery date.
  • Fossil Fuel
    Fuels which have been formed from the organic remains of prehistoric plants and animals (coal, oil and gas)
  • Fundamental Analysis
    Analysis based on underlying market factors influencing prices such as demand, supply, inventories and world economic growth

G

  • GEC
    Gas Electricity Certificate
  • Generation Fuel Mix
    The ratio of utilisation of primary energy sources to generate electricity
  • Gigawatt (GW)
    A unit of power equal to 1 billion watts; 1 million kilowatts, or 1,000 megawatts

H

  • Heating Oil
    No. 2 fuel oil, a distillate fuel oil used either for domestic heating or in moderate capacity commercial-industrial burners
  • Heavy Crude
    Crude oil with a high density due to the presence of a high proportion of heavy hydrocarbon fractions
  • Hedge
    The initiation of a position in a futures or options market that is intended as a temporary substitute for the sale or purchase of the actual commodity. The sale of futures contracts in anticipation of future sales of cash commodities as a protection against possible price declines, or the purchase of futures contracts in anticipation of future purchases of cash commodities as a protection against the possibility of increasing costs

I

  • I/C (Interconnector)
    A physical connection between two countries enabling the import or export of energy

J

  • Jet Fuel
    Kerosene-type; high-quality kerosene product used primarily as fuel for commercial turbojet and turboprop aircraft engines

K

  • kVArh
    Chargeable units on electricity bills that result from a poor power factor. The charge can be eliminated by the installation of power factor correction equipment
  • Kyoto Agreement
    A protocol to the United Nations Framework Convention on Climate Change, it establishes legally binding commitment for the reduction of four greenhouse gases (carbon dioxide, methane, nitrous oxide, sulphur hexafluoride), and two groups of gases (hydrofluorocarbons and perfluorocarbons) produced by "annex I" (industrialized) nations, as well as general commitments for all member countries

L

  • LGC
    Large scale Generation Certificate
  • Long Positions
    Traders holding the commodity or an option on the commodity and are willing to sell
  • LRET
    Large scale Renewable Energy Target

M

  • Marginal Costs
    The cost of the last unit of electricity generated in the least efficient generator unit used to cover demand
  • Maximum Demand
    The maximum amount of electricity used in any half hourly period, used as a chargeable item on many supplier invoices
  • MDQ
    Maximum Daily Quantity
  • MHQ
    Maximum Hourly Quantity

N

  • NEM
    National Electricity Market
  • NGAC
    New South Wales Greenhouse Gas Abatement Certificate

O

  • ORER
    Office of the Renewable Energy Regulator

P

  • PEC
    Partial Exemption Certificate
  • Power Factor
    A measurement of the relationship between electricity used by the consumer compared to the total power supplied.  It is a mathematical relationship between kVA supplied and kW used.  A low Power Factor can cost consumers money and can be corrected with the installation of appropriate equipment usefully used by the consumer
  • PPA
    Power Purchase Agreement

Q

  • Q1
    The period of the forward curve starting in January and ending in March inclusive
  • Q2
    The period of the forward curve starting in April and ending in June inclusive
  • Q3
    The period of the forward curve starting in July and ending in September inclusive
  • Q4
    The period of the forward curve starting in October and ending in December inclusive

R

  • REC
    Renewable Energy Certificate (now LGC)
  • Renewable Energy
    Energy generated from natural sources (naturally replenished) such as sunlight, wind, rain, tides and geothermal heat
  • RPP
    Renewable Power Percentage applicable to LGCs

S

  • SRES
    Small scale Renewable Energy Scheme
  • Standing Charge
    Also known as fixed charge, this typically covers the cost of reading and maintaining energy supply meters, sending bills and dealing with enquiries
  • STC
    Small scale Technology Certificate
  • STP
    Small scale Technology Percentage applicable to STCs
  • Supply Agreement
    A contract between a supplier and the customer to supply electricity at an agreed tariff for an agreed duration of supply contracts are of 12, 18 or 24-month duration but longer and shorter are possible
  • SWIS
    South West Interconnected System

T

  • Terawatt Hour (TWh)
    The equivalent to one thousand gigawatt hours (GWh)
  • Therm
    This is a unit of measurement for gas. 1 Therm is equal to 29.3071kWh
  • Trading
    Buying and selling energy
  • Trend
    The general direction of price movement.

U

  • Underlying
    The stock, commodity, futures contract, or cash index against which the futures or options contract is valued
     

V

  • VEET
    Victorian Energy Efficiency Target
  • Volatility
    A measure of the rate of fluctuations in the relevant market price, often referred to as historical volatility and is calculated from the last twenty published closing prices
  • Voltage
    The rate at which electrical energy is used in a circuit. Usually determined by the rating of the equipment being used and the local distribution network

W

Sorry but there are no glossary terms for this letter


X

Sorry but there are no glossary terms for this letter


Y

Sorry but there are no glossary terms for this letter


Z

Sorry but there are no glossary terms for this letter