Success Story

In May 2021, Previse Systems and Fidectus have embarked on a partnership to connect Previse Coral with Fidectus’ GEN platform. The goal of course was and is to enable seamless post trade processing and full back-office automation, including electronic Confirmation (eCM) and Settlement Management (eSM).

The pilot customer, Norlys Energy Trading A/S, is very satisfied with the combined solution:

“The collaboration of Previse Systems and Fidectus and their plug-and-play integration allow us to have ETRM and eCM/eSM centralised in one solution, enabling full trade lifecycle automation in one unified workflow”, says Michelle Rønne, Head of Back Office at Norlys Energy Trading.

For Previse Systems, the collaboration with Fidectus represents a strong validation of the Ecosystem concept – the combination of best-of-breed platforms and specialised applications using modern technology and communication standards.

“Previse Systems rethink the way ETRM software is designed – they have built a software that actually supports today’s trading patterns” says Michelle Rønne, Head of Back Office at Norlys Energy Trading A/S.

“We have worked with other solutions in the past and those solutions are not geared to handle the number of trades we are doing today. Today’s solutions need to be designed for many small trades rather than a few big ones.

The Previse Coral solution is very data and event driven, so rather than spending human resources clicking around the system, the solution automates processes and allows us to only focus on exceptions.”

Michelle, thank you very much for taking the time to share some of your impressions and experiences with the Previse Coral software with us, and with other prospective customers of Previse Systems!

Michelle: I have already mentioned performance and automation. A further important point to note is definitely the flexibility of the solution, especially around defining workflows: we are able to configure the system around our processes instead of being limited to follow processes defined by the system. Previse Coral is incredibly generic here, it allows to fine-tune the workflows exactly as we need them, e.g. with features like the transition process and the partial locking of trades.

Can you elaborate a bit on that?

Historically my experience is that we end up spending a lot of time changing the tradebook or strategy on the trade. With the Previse partial locking we can decide exactly what back office needs to have locked for controlling and what is open for front office to change.

Does that also extend to settlement processes?

Well, Previse Coral is designed with a settle date and a clearing date which allows us to model all the special rules from the clearing houses along with the exchanges. We know when the trade can be controlled based on when it will be cleared. This allows us to automate those processes.

We all know how difficult it can be to ensure that all trades that need to be controlled and settled on a given day are handled, because of all of the special rules given by the clearing houses and exchanges. So instead of setting up a very complex filter or query (which is impossible to maintain) we can simply select by yesterday’s clearing and settle date and this gives us the definitive list of items to be processed.

Has event driven settlement automation supported you in optimizing your processes?

Yes, absolutely. Since settlement is the final process of the trade, the numbers are always affected by the data upstream and it happens that some of that data might be captured incorrectly. For example, the clearing broker could have a mistake on their side for the settlement date or a manually captured trade could be wrong. In such cases, we just correct the data on the trade and the settlement event engine triggers a re-settlement of the trade automatically – we can then just flip over to the Settlement screen after editing the trade, and the data is already updated and ready for settlement.

It’s amazing not to have to run a batch process or similar! You can just process the data much quicker than in other solutions I have worked with.

Zug, 9 December 2021: Previse Systems announced today that Ørsted has selected Previse Coral and ChorusLink for their day-ahead and intraday power trading operations in Denmark.

The solution will deliver full process automation: direct trade import from Nordpool, calculation of fees, settlement, fee and settlement matching against Nordpool, as well as an interface to SAP. Additionally, the solution will generate the REMIT reporting file and submit it via Equias to ACER.

Previse Systems’ partner Lead Consult will supply several elements of the overall solutions as Apps – namely the interface to Nordpool, settlement and fee matching, and the export of the REMIT file to Equias.

Asbjørn Hansen, Managing Director at Previse Systems, said:

“We are extremely excited about signing up one of the world most significant players in renewable energy and adding them to our customer portfolio. Bringing on yet another large energy trading company onto our platform just re-emphasizes the strength of our product, our team and our partners.

Working with Ørsted during the Proof-of-Concept over the past months to show the direct value of our solution has been a privilege. We are looking forward to supporting Ørsted on their journey from old on-premise legacy solutions to a fully cloud-based and automated ETRM platform designed for the future.”

About Ørsted

The Ørsted vision is a world that runs entirely on green energy. Ørsted develops, constructs, and operates offshore and onshore wind farms, solar farms, energy storage facilities, and bioenergy plants, and provides energy products to its customers. Ørsted ranks as the world’s most sustainable energy company in Corporate Knights’ 2021 index of the Global 100 most sustainable corporations in the world and is recognised on the CDP Climate Change A List as a global leader on climate action. Headquartered in Denmark, Ørsted employs 6,672 people. Ørsted’s shares are listed on Nasdaq Copenhagen (Orsted). In 2020, the group’s revenue was DKK 52.6 billion (EUR 7.1 billion).

About Previse Systems

At Previse Systems, we fundamentally reshape the way Energy Trading and Risk Management (ETRM) software is designed, implemented and operated. We offer a highly performant SaaS solution for European electricity, natural gas and certificates trading – combining modern software architecture with the latest available tools and technology.

As a conceptual innovation, we build on the notion of “community”, with an infrastructure for energy companies to leverage synergies through collaboration in the IT domain. The goal of this is simple: better software, faster and at lower cost. We create software without any legacy burden. Our data structure follows accepted market standards, which drives easy and fast data migrations, and is also a core factor of strong system performance.

With Previse Systems, energy companies are well equipped to master the challenges of a fast-evolving environment.

About Lead Consult

LEAD Consult is a dynamic, customer-oriented company, specialised in providing software solutions as well as business and IT consulting services in the energy and financial sectors. Our deep industry knowledge together with excellent skills in management consulting, technology and innovation allows us to challenge the conventional thinking and deliver exceptional results that have a lasting impact on businesses and companies worldwide.

For more information, visit https://www.leadconsult.eu/.

Zug, 12. May 2021: Previse Systems announced today that Norlys Energy Trading has successfully taken the first release of it new Core ETRM platform – based on ChorusLink, Previse Coral and the Coral Ecosystem – into production.

The primary goal of Release 1 is to support the trading of power and natural gas on EEX as well as Nasdaq OMX, with master data provided by ChorusLink and valuations run in Previse Coral. Release 2 will expand coverage to further instruments across additional European markets for gas and power.

Release 1 was delivered entirely remotely. A strong team spirit with a shared focus on the common goal ensured a smooth and timely completion.

(watch Norlys celebrating their first trading operations)

About Norlys Energy Trading

Norlys Energy Trading A/S was founded in May 2020 and owned by Norlys Holding A/S and Eurowind Energy A/S The company is based in the Northern part of Denmark in the city of Aalborg.

We are in the process of building a solid and automatized organisation with an efficient platform for energy trading and aim to streamline the handling of renewable energy in both Denmark and the rest of Europe.

We strive to become one of the top European players in electricity and gas trading and to be one of the frontrunners of the green energy transition.

As the energy sector is getting “greener”, more complex than ever, and new solutions emerge everywhere, we have chosen to be an active part of and significant contributor to a sustainable future.

Allan Kaufmann, Head of IT Development at Norlys Energy Trading, said:

“We welcome the first deployment of our entire platform into production and can officially state that Norlys Energy Trading is now an operating trading company. This first go-live will probably be the largest and most important deployment we ever face since all our different systems and components (that together represent our world class trading platform) now are combined and running.

It´s quite amazing to see how much we have achieved working from home! We have established very close collaboration with our various counterparts and especially with Previse Systems, who have proven to be a very flexible and high performing partner.

We have started out strong and now we are increasing the pace. What a fantastic journey!”

Asbjørn Hansen, Managing Director at Previse Systems, said:

“At Previse Systems, we are very proud of this first result of our partnership with Norlys Energy Trading. Thanks to an efficient and close collaboration of the project teams – of course entirely remotely as mandated by the circumstances – we were able to not only fulfil a very demanding project schedule, but even to increase the project scope and deliver more functionality than originally planned.

We were able to demonstrate the strength of our concepts for example in the core success criteria of time to market and performance – the combination of our innovative data management approach with the utilisation of advanced Azure cloud services and the serverless technology provided by Microsoft allows new markets to be onboarded quickly and valuation runtime to be all but independent of the number of trades to be valued.

We are excited to support Norlys Energy Trading on their journey and look forward to a continuous stream of further successful releases over the coming months.”

About Previse Systems

At Previse Systems, we fundamentally reshape the way Energy Trading and Risk Management (ETRM) software is designed, implemented and operated. We offer a highly performant SaaS solution for European electricity, natural gas and certificates trading – combining modern software architecture with the latest available tools and technology.

As a conceptual innovation, we build on the notion of “community”, with an infrastructure for energy companies to leverage synergies through collaboration in the IT domain. The goal of this is simple: better software, faster and at lower cost. We create software without any legacy burden. Our data structure follows accepted market standards, which drives easy and fast data migrations, and is also a core factor of strong system performance.

With Previse Systems, energy companies are well equipped to master the challenges of a fast-evolving environment.

Zug, 10. March 2021: Previse Systems announced today that the initial implementation of Previse Coral at European Energy A/S has been successfully completed.

Building on the ChorusLink Common Trade Repository, European Energy benefits from Previse Coral’s unique features supporting modern renewable energy markets to manage its portfolio of Power Purchase Agreements (PPA), electricity and certificate trades.

The scope of Previse Coral includes:

• Trade capture for PPAs, guarantees of origin (GoO) and power trades
• Automated market price import using a Connector App supplied by Lead Consult
• Market price management, including an Extrapolation App to extend market curves beyond their published validity
• A Price Formula Builder App to build custom price formulas for trade or market prices
• Position management, valuation and reporting – including calculation of mark to market (MtM), profit and loss, MtM over time etc., with reports visualization in embedded Microsoft Power BI
• A fully automated end-of-day process

About European Energy

Copenhagen-based European Energy constructs wind and solar farms to build solutions to climate change. European Energy has constructed more than 1.5 GW of renewable energy capacity since it was founded in 2004. European Energy is currently developing and constructing parks in Europe, Australia and America.

About Previse Systems

At Previse Systems, we fundamentally reshape the way Energy Trading and Risk Management (ETRM) software is designed, implemented and operated. We offer a highly performant SaaS solution for European electricity, natural gas and certificates trading – combining modern software architecture with the latest available tools and technology.

As a conceptual innovation, we build on the notion of “community”, with an infrastructure for energy companies to leverage synergies through collaboration in the IT domain. The goal of this is simple: better software, faster and at lower cost. We create software without any legacy burden. Our data structure follows accepted market standards, which drives easy and fast data migrations, and is also a core factor of strong system performance.

With Previse Systems, energy companies are well equipped to master the challenges of a fast-evolving environment.

Jonas Nihøj, Director of Energy Trading & PPA at European Energy, said:

“We are very impressed with the speed of implementation and the innovative solution provided.

Previse Coral has automated the management of our European power portfolio, guarantees of origin sales and PPAs (Power Purchase Agreements), where in many cases there is a very complex logic that needs to be controlled.

The system is a true enabler for us when servicing our clients with clean energy and thereby contributing to the Green Transition.”

Asbjørn Hansen, Managing Director at Previse Systems, said:

“It is great to have our first customer live on Previse Coral and see all of the hard work we have put into our software pay off. By providing European Energy with a fully automated end of day process with a daily recalculation of critical KPIs, we support the digitalization of their business and enable them to make better trading decisions.

Besides all that it is always a pleasure to work with the European Energy team and we are looking forward to continuing to add more functionality and help European Energy expand their activities into more countries and territories as part of their impressive growth journey.”