Why is energy trading important?

“When I glance around me, almost everything I see and rely on today requires energy to manufacture and to function — from the phones and computers in my office, to the lights and appliances at home, to the vehicles on the roads. The fact is we live in a world where a reliable supply of energy is critical to our daily lives and our entire socio-economic system. At the same time, living standards are rising around the world and a growing number of consumers are enjoying the fruits of economic progress. All of this means that demand for energy just keeps on going up — the most recent estimates I’ve seen indicate that energy demand will rise by more than 30% by 2035.” — Steve Harley, head of the DHL Global Energy Sector

The energy trading industry has developed and made progress with uttermost rapidity in the latest years. Companies have focused on developing strategies which were realized afterwards in order for the companies to reach their market presence. There are positive competition and investments in the area of energy trading, as well as the energy technology platforms.

The main factors of the energy industry are the energy demand and supply. For that reason there are many energy suppliers and consumers in order to buy or sell any type of energy. Actually all energy types can be traded: electricity, gas, oil, coal, and CO2. These so-called “products” can be physically traded, for example, when someone purchases a quantity of electricity, it is delivered to him/her at an agreed date.

The processes within energy trading are very transparent. There are many factors for achieving functional and transparent energy market that will produce fair prices, such as: having more sellers and buyers, having an increased trading volume, having a high information density, having trustworthy pricing between supply and demand prices, etc.

The energy trading is different than the financial trading, and it happens in part on exchanges. There are numerous energy exchanges in Europe, and some of the most popular are the NORDPOOL in Oslo and the European Energy Exchange (EEX) In Leipzig. Energy trading is an anonymous trading, that is, seller and buyer do not have to know each other.

Today, many places in the world suffer from lack of energy supply. There are decreased energy sources which make the process more complicated. Almost all countries in the world cannot cover the required energy with their own energy sources. That is why we have the energy trading and why it is so important. The energy trading also provides protection against risks and problems.

Energy plays a huge role in our lives, it provides comfort, increases productivity, and helps us to live a life the way we want. We are surrounded by energy, and that is why the energy sources are so important and why we need the energy trading. Supply chains and logistics are now more necessary than ever before.

It is expected for the value pools to increase by 30% in the next 10 years:

What makes the energy trading more relevant is the fact that the switch rate (consumers’ crossing from one supplier to another) is growing. Over the last 5 years the switch rate has grown and it has decreased the pool of not switched eligible customers. There are many new players in the energy market that are increasing the competitions by fulfilling specific customer needs.

We all need energy trading to be successful because it is for our own sake. Energy trading will eliminate the lack of energy sources and everyone will be supplied with the proper quantity of energy.

According to these facts, we believe that not only the energy trading matters, but that it will increase its importance in the future. That is why we are joining in the energy market, with the goal of being the leading electricity supply platform. We believe that everyone deserves electricity, and we are here for you and your needs!

Thank you for reading.

Subscribe to the largest electricity bidding platform and keep up with our updates. Participate in discussions on our Telegram channel as well: https://t.me/joinchat/Hq0j1hDxZ3eRKFNo5f7oTw

Join the pre-sale and crowdsale here: https://tokensale.energypremier.com/

You can also check out some similar articles:

• Everything you need to know about energy industry
• The most successful ICOs of 2017