03.10.2005: October 2005 VPP newsletter

You can now sign up to the first capacity auction!
We have published the final legal documents in the contracts’ section www.elsamvpp.com (Confidential section). Potential bidders may now sign up to participate in the auction. The final deadline for submitting applications is 1 November 2005.

Changes to credit requirements
Elsam and the Trustee have received a number of comments during the past few months, which have all been duly considered by the Trustee, the Danish Competition Authority and Elsam.
Most of the comments were related to credit support, and the following changes have been made:
Companies having a minimum credit rating do not have to establish the Option Security Companies not meeting minimum requirements for certain financial indicators, need to establish more credit support if they want to bid for long term products (12 and 36 months) As a result the Bid Security and the Option Security related to the 12 month and 36 month product types will depend on which Credit Group the bidder belongs to.
Further information can be found in the Information Memorandum, which is published in the section "Auction Information".

Applications for the first Elsam VPP auction
Potential bidders who wish to participate in the auction must download and complete a number of contracts and forward these to Elsam, Nord Pool or the Trustee, where applicable.
Companies with a credit rating that is equal to or higher than the minimum credit rating have to send in documentation for their credit rating together with their application. 
No further credit support information is required for this first auction.

Outline of the contracts and credit support
We have made a document outlining the deadlines relating to contracts and credit support. This document may be downloaded from the contracts’ section.

Energy Price
Elsam publishes from 10 October onwards an indicative Energy Price for the 3 month product type on auction 22 November 2005. We will update the Energy Price on a weekly basis every Monday on the confidential section of www.elsamvpp.com.

Thank you for your interest in Elsam's Virtual Power Plant Auctions.
The VPP-team