Choice Energy Service’s risk management approach is based on risk-appropriate energy cost reduction. As the initial step, Choice takes the time to understand its clients’ energy needs and concerns beyond procurement in order to build an impactful energy strategy that guides its partnership to success. The goal at Choice is to take a big picture approach to provide meaningful advice and insight for a scope of services tailored to individual needs.
A risk management strategy is important to identifying objectives at both the corporate and facility level. Once identified, the strategy serves as the blueprint for how Choice Energy Services manages a client’s specific risk profile. This outline not only serves as a road map, but also aids in decision making throughout the procurement process.
Choice Energy Services is continually conducting fundamental and technical market analysis and communicating findings through multiple channels. Unlike most energy consultants, Choice believes client education and market understanding is the key to a successful partnership. The client’s dedicated account manager will work with them to establish the appropriate amount of market discussion to enable efficient and effective decision-making at each level.
Many of Choice Energy Service’s clients participate in hedge programs (physical and financial) to help mitigate their risk in the commodity markets. Performance of a client’s hedging program is tracked through Choice’s Hedge Position Report. In this report, Choice Energy Services evaluates a client’s hedge purchases compared to current market pricing and a client’s budget price. Although the first goal of a hedge purchase program is to provide budget certainty, Choice takes pleasure in highlighting when the client beats the market, as well.