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To better understand the needs of our customers, GDF SUEZ Energy Resources has developed a simple Energy Assessment, shown above.
The horizontal axis represents the degree of certainty a customer may seek ranging from "Fix" (high certainty) to "Float" (low certainty) with "Flex" representing something in between.
The vertical axis represents the range of cost outcomes that correlate to the degree of price certainty desired by the customer. The further to the left of the spectrum, the higher the degree of price certainty and the lower the range of cost outcomes. Conversely, the further to the right of the spectrum the lower degree of price certainty and the higher the range of cost outcomes.
There are two other elements of the Risk / Reward Assessment that are important to understand. First, there is a trade-off between certainty and cost. As a general rule, the further one moves to the left of the spectrum the more they will pay in risk premiums as exhibited by the dotted white line. It is critical that customers understand this relationship to discern the difference between what they want and what they need. Second, you will notice that the tip of the cone rests to the left of the vertical axis. This relates to the fact that Delivery charges are not necessarily driven by market forces and may be subject to adjustments which means they are never 100% "fixed". This becomes an important factor when setting appropriate expectations regarding one's budget.
GDF SUEZ Energy Resources wants to gain a clear understanding of your wants and needs so we can be sure that the products we present strike the correct balance between the two. Our objective is to help align your energy strategy with your business drivers whether you wish to Fix, Flex or Float the price.
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