Always on watch: Basin Electric’s Marketing team works around the clock to benefit members

2018 Marketing & Trading Floor - 049

Ryan Davis, Basin Electric’s manager of trading, and members of the real-time marketing team work to ensure every dollar possible is captured in the market around the operating conditions.

Behind locked doors on the second floor of Basin Electric Headquarters is a team always on watch – waiting for an opportunity to enhance the revenue on products from Dakota Gasification Company or to serve the load at Basin Electric at the lowest cost.

Members of Basin Electric’s Marketing and Asset Management team work around the clock, sometimes in highly stressful weather or market events, to ensure they are buying and selling commodities at the best possible prices for Basin Electric’s members.

“We are constantly working to serve our member load at the lowest cost possible,” says Valerie Weigel, Basin Electric director of marketing financial analytics. “Volatile markets, especially during extreme weather events, require quick thinking and prioritization of which opportunity to tackle.”

If a situation occurs, such as natural gas isn’t showing up where it needs to be, or Dakota Gas produces more or less than what is nominated, it is Marketing’s job to purchase or sell to fill in those gaps.

This delicate balancing act is made even more complicated when a “critical event” occurs, such as an extreme weather situation like the bitter cold snap that occurred at the end of December and early January 2017-2018.

During events like this, market prices become extremely volatile, and Marketing must consider additional factors such as how much gas will be needed to run Basin Electric’s peaking facilities, and if necessary, what third parties Basin Electric can purchase gas from at the best prices.

Learn about how unforeseen circumstances can impact generation and why it’s important to keep coal and other resources in Basin Electric’s generation portfolio by reading the full story in the Winter 2018 issue of Basin Today: Always on: Marketing team works around the clock to ensure members get the best bang for their buck.

 

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