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Covariance risk: What it is and how to manage it

Norton Rose Fulbright’s June 2019 Project Finance NewsWire features an interview with Lee Taylor, REsurety's CEO on covariance risk and how to manage it. It starts on Page 21. The article is based on a Feb. 2019 Currents Podcast.

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Project sponsors, banks and tax equity investors in transactions with hedges may be overlooking some risks that wind projects are bearing. Each risk should be borne by the party best able to manage it. In some deals, this may not be happening.

One such risk is covariance risk.

There has been a fundamental shift in how electricity is sold by independent generators. As utilities cut back on the amount of electricity they are buying under long-term contracts from independent generators, financial parties, like banks and commodities firms, entered the market to buy power. Utilities have tended to buy “as-generated power,” meaning they pay a fixed price regardless of how much power is generated and — critically — when it is generated. In contrast, financial parties typically buy power in fixed blocks: with a set volume of power every hour over the life of the contract.

Financial parties buy power this way either so that they can match up with a predictable load or, more commonly, so that they have a known volume of power to sell to the physical consumers of electricity.

Selling fixed volumes of power in every hour of a contract creates challenges for an electricity supplier like a wind farm. The owner of the project does not know, and has no control over, how much electricity it will produce in any given hour, and even though there are seasonal and diurnal averages, what actually happens in any hour is highly variable.

Covariance

”Covariance risk” is the risk that a project will have a strong (typically negative) relationship between generation and price — so an hour of abnormally high generation will correspond to a low power price, and vice versa. While this condition can limit the value of power from a merchant wind farm relative to baseload energy, it is particularly challenging when the project has made fixed hourly delivery commitments (physically or financially) as the project not only misses out on revenues during high price hours, but is in fact a buyer of energy during those hours due to a need to purchase any shortfall between its hourly commitment and its hourly generation.

Chances are the reason the project came up short is a shortage of fuel: the wind died. And if the wind dies at a single project, it likely died at all of the neighboring projects — which means overall energy supply to the region has fallen, driving up energy prices — so the cost to cover the generation shortfall will be expensive.

To put this condition in financial terms, the current cap on energy price in ERCOT during a supply scarcity event is $9,000. Suppose a large wind farm in ERCOT has committed to sell 50 megawatt hours of electricity during a certain hour for a fixed price of $20 a MWh. It is a hot day in August. The wind dies and power prices spike to $9,000 a MWh in that hour. The project is at risk of having to buy 50 MWh at $9,000 each just to sell them under the existing contract for $20 each — a net cost to the project of $449,000 for a single hour.

The insurance markets are typically better positioned to absorb that kind of risk than are independent generators because insurers have a much greater capacity to absorb and diversify that risk.

An insurer can hold wind risk in Texas, solar risk in Australia, hydro risk in Uruguay, and so on, with the idea that extreme weather patterns are unlikely to hit every area simultaneously. The ability to diversify the risk makes the insurer the party best able to manage location-specific, weather-driven risks.

Balance of Hedge

Renewable generation projects can manage covariance risk through a hedging product called a “balance of hedge.”

The balance-of-hedge product is designed for projects that will sign or have already signed a hedge with a bank or commodity trader to swap floating market prices for fixed prices on fixed volumes of power. It transfers the risk of being short during high prices and long during low prices. The insurer will assign an expected value to all of the residual excess short and long positions. Because of the enormous amount of potential volatility, the insurer will price the risk below the expected value so that it should make money for the insurer during an “average” weather year, but will eliminate the project’s exposure to extreme weather conditions.

For example, July 2018 was very hot in Texas. Power prices spiked during a period when wind speeds were low. Anyone with a bank hedge that month probably had a rough month. A balance of hedge smooths out the pattern of cash flow for a project with a fixed-quantity price hedge. The underlying hedge converts the floating revenue for a project selling its electricity into ERCOT into a fixed revenue stream, but if it is a fixed-volume hedge, it does not protect a project from coming up short on the fixed volume that the project has promised and having to cover the shortfall in floating revenue owed under the hedge. The balance of hedge covers this risk.

There may be only a limited appetite for a balance of hedge at the project level for an existing tax equity deal. The tax equity investor and lender have already underwritten the transaction based on their evaluations of the power contract and hedge. Most sponsors would do better to have the project company sign the balance-of-hedge contract with the insurance company when the tax equity is first put in place. Doing it later requires consent from the tax equity investor, who may be reluctant to reopen a transaction, especially as it may require a re-marking of the position.

From a credit perspective, a letter of credit is typically used as collateral for the balance of hedge. This is often posted at the sponsor level. However, if the sponsor lacks access to an LC facility or wants to offer a lien instead, then the lien must be harmonized with the lien-based collateral that has probably been provided to the bank that is the counterparty to the main bank hedge. Anyone entering into a bank hedge without putting the balance of hedge in place at the same time should negotiate for the ability to use incremental liens as collateral for the insurance company that is the counterparty under any balance of hedge put in place later.

REsurety is not an insurer. We support balance of hedge transactions by providing analyses to insurers who use those analyses to offer and set the price of balance-of-hedge products. While other insurers are working to enter the market, the vast majority of balance-of-hedge contracts — and other related products — have been offered through a partnership between Allianz Risk Transfer and Nephila Climate.

Assessing the Value

A white paper on our website called “The P99 Hedge that Wasn’t” looks at the hourly performance of every operating wind farm in Texas. We were able to use this data to analyze how a wind farm that purchased a bank hedge would have performed historically, including through the 2014 polar vortex, the 2011 heat wave and other major weather-driven events.

That said, a perfect view of the past cannot guarantee future performance. A good example occurred when coal plants dropped out of the ERCOT generation fleet in 2017 and the ERCOT reserve margin shrank, increasing the likelihood of high price events during low wind periods. Predicting how pricing will be affected in a market with less thermal generation and much more wind and solar is hard. You are predicting how various weather and commodity conditions will interact with a generation stack that has never existed before. Every month there are more wind farms in Texas than ever before. We spend a lot of time looking at how projects and markets performed over the last five or six years under high and low gas prices, high and low temperatures and high and low wind speeds, and analyzing how this is likely to change over time.

That depth of analysis is critical to insurers’ ability to underwrite balance-of-hedge and related products. Fundamentally, our job is to build a distribution of risk. We provide information around that distribution and identify sources of uncertainty and insurers like Allianz and Nephila use that information to offer and price products.

On average, the market has underestimated covariance risk in bank hedges and, in particular, in the Texas market. Utilities have taken this risk historically under long-term contracts where they commit to take whatever electricity is generated.

The covariance issue is weather-driven. High heat or extreme cold during low weather events is what causes significant changes in the as-generated versus fixed quantities of power. The year 2018 saw some unusually cold temperatures in January and some unusually high ones in July. This led to a significant amount of dislocation, and the market woke up to the exposures that projects are bearing.

Now we are in 2019, and we see pretty diverging views across the market about what happened last year and how it might change. If we re-live a 2011 heat wave with the current generation supply stack, nobody knows how that will play out, but it is clear that it would be a significantly bad event for almost any wind project with a standard fixed-quantity hedge.

Solar v. Wind

Solar developers should think about covariance risk the same way as wind developers.

A lot of solar is being built in Texas, in part because power prices are high in the summer when wind speeds are low, so there is an attractive pricing dynamic for a solar operator. At the same time, the whole solar industry is aware of what happened in California with the duck curve. More solar electricity is generated during the middle the day than the grid requires. If the grid sheds the excess electricity, it can depress power prices in the same way that happens during an especially windy hour in the winter in Texas.

The prevailing view currently is that the extremely rapid growth of wind in Texas compared to solar creates a great opportunity, but the solar industry in Texas has the potential to become a victim of its own success. The question is where is the equilibrium reached, and how big of a role storage will play.

The focus on Texas has been driven by the fact that most of the financial hedging for wind projects to date has been in ERCOT. However, interest in hedges is expanding into other regions like SPP and MISO where the same relationship can be seen between wind speeds and power prices. There is less wind in PJM, so there is less of the causal issue of high wind speeds pushing down power prices, but there is still the same general correlation of lower prices during high wind periods. The severity of the issue varies from one market to the next, but it affects every power plant whose output is intermittent.

The longest balance of hedge being offered today is 10 years. Pricing gets more expensive the longer the term in some markets, but not in all markets.

The concern about price spikes during low wind events in the summer is most acute for the next three to four years in Texas. That is partly due to a belief that solar capacity additions will help to moderate price spikes during the summer months when extreme covariance risk is most acute.

Corporate Buyers

The issue of covariance is not unique to the seller of electricity. If a project enters into an as-generated power purchase agreement with a corporate buyer, it will have transferred the covariance risk away from the project and to the buyer of electricity.

Microsoft has been the most active in thinking about and managing this risk, and it was the first to embrace a solution through use of a “volume firming agreement.”

A “volume firming agreement” works in much of the same way as a balance of hedge: it locks in a fixed value to the sum of the hourly short and long positions held by a corporate buyer who is meeting a fixed-shape load with an as-generated PPA.

Suppose a data center requires 50 megawatts of power every hour to run its operations. If it has signed an as-generated PPA with a wind farm to manage the risks of its electricity costs, how well that PPA performs as a hedge on energy costs depends on the correlation between the wind project’s output and power prices. For example, if the wind dies and power prices spike and the data center still must buy 50 megawatts of power each hour, the data center is buying very expensive power despite the fact that it signed a PPA to mitigate energy price risk.

Microsoft decided it would like to shed that risk to an insurer in the same way that a project does.

Usually, the underlying PPA has already been signed and the volume firming agreement is added after the fact as a way to convert the PPA into something that is significantly more effective in managing the energy costs of a corporate buyer.

However, we are starting to see more corporate offtakers look at putting a volume firming agreement in place at the same time the PPA is signed. That gives them certainty about how their PPAs will perform as expected from the start.

In some cases, the project selling power under the PPA may or may not be aware of the volume firming agreement as the corporate buyer has a view that it should be free to manage its risk however it chooses without having to involve the project. In other cases, it becomes a three-party discussion among the project, the corporate buyer and the insurer. In either case, the PPA and the volume firming agreement are separate contracts.

Overall, projects and their investors should expect offtake arrangements to be much more dynamic in the future. Whereas traditional 20+-year busbar PPAs managed nearly all of a project’s risks for a long period, today offtake contracts are typically shorter term and have various flavors of risk management. 


 

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Devon Lukas
Risk and Transaction Analyst
Anshal Savla
Data Engineer

Anshal Savla is an engineer with expertise in building data pipelines and automated workflows.  Before joining the REsurety team, he worked as a Data Analyst at New York City Transit where he built a data pipeline to analyze employee attrition trends. At REsurety, he is working on building and optimizing automated data pipelines to support the company’s analysis of wind speed and electric power generation and pricing data.


Mr. Savla holds a Master’s degree in Computer Science from New York University and a Bachelor’s degree in Information and Technology from NMIMS University, in India.

Irina Gumennik
Associate, Risk Analytics

Irina Gumennik is an environmental engineer and data analyst with more than 10 years of experience in the development of renewable energy projects. Irina was part of the team that permitted, constructed, and commissioned the Block Island Wind Farm, the first offshore wind energy project in the United States. Before joining REsurety, Irina worked for the world’s largest demand response service provider on demand-side solutions and battery storage products for commercial and institutional energy users. At REsurety, Irina evaluates weather-related volumetric risk and structures hedging contracts to mitigate that risk for clean energy buyers and sellers.

 

Ms. Gumennik holds a Master’s degree in Civil & Environmental Engineering from Tufts University in Medford, Massachusetts. She also holds a Bachelor’s degree in Environmental Science and Public Policy from Harvard University.

Elizabeth Kalikasingh
Senior Analyst, Risk Analytics

Lizzy Kalikasingh is a materials engineer and scientist with experience in materials selection and optimization for wind and solar technology. Before joining REsurety, Lizzy researched polymer coatings to reduce ice adhesion for wind turbine blades and was involved in the selling of renewable energy credits generated by wind turbines in Cleveland.  Additionally, she worked as an operations engineer at EverPower Windholdings, where she designed tools to analyze the performance of wind turbines and auxiliary instruments. 

Ms. Kalikasingh holds a Bachelor’s degree in Materials Science and Engineering from Case Western Reserve University.

David Simons
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David Simons is an engineer with experience in energy systems and data science. Prior to joining REsurety, David led the Systems & Analytics team at Enel X, building software to settle demand response events for the world’s largest DR provider. At REsurety, he develops and improves the analytics used to predict renewable energy revenue and quantify risk.


Mr. Simons holds a Bachelor’s degree in Energy Systems Engineering from the University of Toronto as well as a Bachelor’s degree in Linguistics from McGill University.

Daniel Jang
Power Markets Research Associate

Daniel Jang is a researcher with experience in fundamentals-based modeling of electric power systems. Before joining REsurety, he worked in the utilities practice at the Brattle Group, consulting on issues spanning wholesale and retail electricity in litigation and commercial contexts. At REsurety, he is helping to advance renewable power price analytics. 


Mr. Jang holds a Bachelors degree in Economics from Princeton University.

Chris Marlowe
Associate, Operations
Brian Sousa
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Blair Allen
Product Manager, Information Services

Blair Allen is a product manager with experience in energy information services products that support both ends of energy market exposure, from the project development phase to managing merchant generation. Before joining REsurety, Mr. Allen worked at a large energy data and analytics company as the Chief of Staff to their Power business unit, helping to manage, develop, and grow the company’s global portfolio of electricity market products and services. Prior to that he worked as a Senior Market Analyst offering price and congestion forecasts to customers with physical or financial risk in the Mid-continent ISO.


Mr. Allen holds a Bachelor’s degree in Philosophy from Bucknell University, with a minor in Economics.

Barbara Donnelly
Office Manager

Barbara brings over 20 years of support experience to the REsurety team.  She has worked with startups and high-growth organizations to ensure an efficient and pleasant employee work experience.

Aaron Perry
Associate, Analytics – Risk Analytics

Aaron Perry is a meteorologist with experience in wind resource assessment, climate science, and numerical weather prediction. Before joining REsurety he worked for Vaisala, performing wind and solar resource assessments, and analyzing hundreds of pre-construction and operational projects around the world. As part of his Master’s studies he researched supply-side volumetric risk to renewable energy companies and the financial tools that may reduce this risk.  At REsurety Aaron evaluates weather related volumetric risk and structures hedging contracts to mitigate that risk for clean energy buyers and sellers.


Mr. Perry holds a Master’s degree in Environmental Science, Policy, and Management from the Central European University in Hungary, Lund University in Sweden, and the University of Manchester in the UK. He also holds a Bachelor’s degree in Atmospheric Science from Cornell University.

Jessica Tomaszewski
Research Scientist

Jessica Tomaszewski is an atmospheric scientist with experience in boundary layer meteorology, numerical weather prediction, and wind resource assessment. Prior to joining REsurety, Dr. Tomaszewski completed a National Science Foundation Graduate Research Fellowship with a focus on simulating interactions between wind farms and the lower atmosphere. She also conducted two summer internships at NextEra Analytics investigating improvements to the wind farm wake modeling process. As a research scientist at REsurety, she investigates new techniques for wind flow and wake modeling and long-term wind resource prediction.


Dr. Tomaszewski holds Doctor of Philosophy and Master’s degrees in Atmospheric and Oceanic Sciences from the University of Colorado Boulder. She also holds a Bachelor’s degree in Meteorology from the University of Oklahoma where she graduated with highest honors.

Aaron Nickelsberg
Product Manager
David Luke Oates
VP of Power Markets Research

David Luke Oates is an engineer and researcher with experience in statistical and fundamentals-based modeling of wholesale electricity systems.  Before joining the REsurety team, he was a consultant at the Brattle Group, supporting electricity market operators, utilities, and asset owners to address market design, asset valuation, and regulatory questions. At REsurety, he is helping to advance power price analytics in the context of emerging issues in the electricity sector.

 

Dr. Oates holds a Ph.D. in Engineering and Public Policy from Carnegie Mellon University and a Bachelor’s degree in Engineering Physics from Queen’s University, Canada.

Jennifer Newman
VP of Atmospheric Science Research

Jennifer Newman is an atmospheric scientist with experience in boundary layer meteorology, remote sensing, machine learning, and wind resource assessment. Prior to joining REsurety, Dr. Newman completed a postdoctoral fellowship at the National Renewable Energy Laboratory with a focus on improving turbulence estimates from Doppler wind lidars. As a research scientist at REsurety, she investigates new methods for estimating the risk of potential wind projects.


Dr. Newman holds Doctor of Philosophy and Master’s degrees in Meteorology from the University of Oklahoma. She also holds a Bachelor’s degree in Atmospheric Science from Cornell University where she graduated with distinction in research.

Tony Lapolito
SVP of Product

Tony Lapolito is the Senior Vice President, Product of REsurety.  He has been a part of multiple early stage companies that have generated well over $1B in liquidity.  Tony is a pioneer in many disruptive technologies including digital media, CDNs, cloud, distributed computing and big data.  He has held senior Product, Marketing and UX positions at Cisco Systems, BNI and SightPath (both acquired by Cisco), Chipcom (acquired by 3Com) as well as Signiant and SevOne. 


Tony holds a Bachelor’s degree in Electrical Engineering from University of Massachusetts, Lowell and a Masters of Business Administration from Boston College.

Adam Reeve
SVP of Software

Adam Reeve is a mechanical engineer and data scientist with a strong interest in the rapidly evolving renewable energy landscape. Before joining the REsurety team, he worked for a proprietary trading firm specializing in quantitative analysis of energy markets. His deep experience in data-driven analysis, model building, risk assessment and data visualization support REsurety’s analytical approach to quantifying and managing the weather-linked revenue risks of wind power projects.


Mr. Reeve holds a Bachelor’s degree in Mechanical Engineering and Political Science from Yale College, with a focus on energy and environmental studies. He graduated with distinction in both majors.

Carl Ostridge
SVP of Analytics

Carl Ostridge has more than 10 years of wind energy experience specializing in pre-construction and operational wind resource and energy yield assessments. Prior to joining REsurety, Mr. Ostridge worked for DNV GL analyzing and improving the accuracy of wind farm energy analyses and developing models to predict wind farm energy output and revenue on hourly timescales. He also led research activities focusing on turbine performance, wind flow and wake modeling, measurement instrument accuracy, and wind resource variability and long-term trends. His extensive industry experience and proven analytical skills support REsurety’s industry-leading tools and expertise in weather-related risk and valuation for renewable energy projects. 


Mr. Ostridge holds a Master’s degree in Astrophysics from the University of Exeter in the UK.

Lee Taylor
CEO

Lee Taylor is the Co-Founder and CEO of REsurety.  Since founding REsurety in 2012 to commercialize research he conducted at Dartmouth’s Tuck School of Business, Mr. Taylor has built a rapidly growing company, gained institutional financing and attracted top-notch talent, advisors and directors. Today, REsurety’s products are not only award winning, but are redefining the way clean energy buyers and sellers are thinking about and managing risk. Under Mr. Taylor’s stewardship, REsurety has amassed contracts supporting more than 5,000 MW of renewable energy generation capacity, and counts many of the U.S. — if not the world’s — largest companies as customers and partners, including Microsoft, Invenergy, Capital Power, Southern Company, Nephila Climate, and Allianz.


Mr. Taylor holds an MBA from Tuck School of Business at Dartmouth, where he was named an Edward Tuck Scholar (awarded for academic achievement) and recipient of the Lt. Walter Jacobs Memorial Prize (awarded for intellectual leadership). He also holds Bachelor’s degrees in Economics and Biology from the University of Virginia.

David Luke Oates
VP, Power Markets Research

David Luke Oates is an engineer and researcher with experience in statistical and fundamentals-based modeling of wholesale electricity systems.  Before joining the REsurety team, he was a consultant at the Brattle Group, supporting electricity market operators, utilities, and asset owners to address market design, asset valuation, and regulatory questions. At REsurety, he is helping to advance power price analytics in the context of emerging issues in the electricity sector.


Dr. Oates holds a Ph.D. in Engineering and Public Policy from Carnegie Mellon University and a Bachelor’s degree in Engineering Physics from Queen’s University, Canada.

Karl Critz
CTO

Karl Critz is a software engineer with experience in simulation, modeling, machine vision, and data visualization. His work in renewables has integrated solar power with smart residential load sources and optimized generation strategies for high-penetration wind. As an experienced software architect, Karl ensures that REsurety’s analytical infrastructure is functional, reliable, and scalable.


Mr. Critz holds a Master’s degree in Management and Engineering from MIT Sloan, where he received an NREL Innovative Research Analysis Award grant for wind integration research. Mr. Critz also holds Master’s and Bachelor’s degrees in Mechanical Engineering from MIT.

Jackson Myers
VP, Transaction Analytics

Jackson Myers has more than 7 years of experience in wind and solar energy operations. Prior to joining REsurety, Mr. Myers was a member of the meteorology team at Pattern Energy where he was responsible for the operational data analytics program. Prior to that, Mr. Myers worked at EDPR where he analyzed wind and solar plant performance and led a research program on the use of lightning detection technology at wind farms.


Mr. Myers holds a Bachelor’s degree in physics from McGill University and a Master’s degree in physics from Rice University.

Jhané Thomas
DevOps Engineer

Jhané Thomas is a DevOps Engineer with a pervasive background in CI/CD and automation. Prior to joining REsurety, she worked at large company focused on developing computer processors and related technologies, where she improved their CI/CD pipelines and testing infrastructure. At REsurety, she is building and improving the CI/CD infrastructure as well as implement more DevOps practices.


Ms. Thomas is in the process of attaining her Master’s degree in Information technology and has a Bachelor’s degree in Computer Science, both from Johnson & Wales University.

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Steven Kalt
Data Visualization Engineer

Steven Kalt is a full-stack developer with experience in data visualization, GIS, web design, and renewable energy origination. Before joining REsurety, he worked for Lux Research, designing interactive visualizations and developing research tools. At REsurety, Mr. Kalt works to build modular, scalable, and informative data visualization systems. 


Mr. Kalt holds a Bachelor of Arts in Environmental Studies from Amherst College in Massachusetts.

Praneeth Gurumurthy
Jr. Software Engineer
Pete Florenzano
Senior Data Engineer
Nathan Garcia
Software Quality Engineer
Eddy Page
Software Engineer, Data Science
David McDougall
VP, Software Sales
Caelin Schaefer
Risk and Transaction Analyst
Amit Ranjan
Power Markets Research Associate
Aaron Carbine
Sr. Software Engineer
Yu Wang
Software Quality Manager

Yu Wang is the Software Quality Engineering Manager at REsurety who lays out the quality vision and oversees the quality activities of REsurety’s Risk, Platform and Information products. Before joining Resurety, Mr Wang built his more than twenty years of Software Quality Engineering tenure at MathWorks, Teradyne, Motorola and Amica by leading technical projects, managing onshore and offshore quality engineering teams, working cross-functionally, delivering high quality on-premises, distributed and cloud based software applications.

Mr Wang holds a Master’s degree in Software Reliability Engineering from the University of Maryland at College Park.

 
Shane Hall
Software Engineer

Shane Hall trained as a mechanical engineer, but pivoted to software engineering after gaining academic research experience in the aerodynamic modeling of wind turbines. He has worked at ISO-NE modeling renewable resources, and as a software engineer in the energy consulting industry building financial software products and running commodity market forecasting to advise on procurement strategy in the C&I space. He has extensive experience in resource and market modeling, machine learning forecasting, and software product development.  At REsurety, Shane builds and improves software that analyzes renewable resources and assesses financial risk.


Mr. Hall holds a Master’s degree in Mechanical Engineering, a Bachelor’s degree in Energy Engineering, and a Certificate in Wind Power Engineering from the University of Massachusetts Amherst.

Marcial Santiago
Data Quality Engineer

Marcial Santiago is a data engineer with a background in software development and mathematics. Before joining REsurety and the renewable energy industry, he worked as a Data Specialist at McLean Hospital. Mr. Santiago’s background in mathematics and software development help ensure the quality of to REsurety’s data-intensive approach to risk evaluation and mitigation.


Mr. Santiago holds a Bachelor’s Degree in Computational Mathematics from Rochester Institute of Technology in Rochester, NY.

Sarah Sofia
Software Engineer

Sarah Sofia is a photovoltaics engineer with extensive research experience in techno-economic analysis of solar cells and solar-plus-storage systems at high PV adoption rates. Prior to joining REsurety, Sarah performed doctoral research at MIT to determine how novel solar cell architectures and storage technologies could be made economically viable through combining experimental device fabrication, module manufacturing and system cost analysis, and location specific energy yield modeling to inform the optimal solar cell device design. At REsurety, Sarah is developing the team’s solar energy modeling software capabilities.


Dr. Sofia holds a Ph.D. in Mechanical Engineering from MIT, as well as Bachelor’s degrees in Physics and Astronomy with a concentration in scientific computing from Haverford College.

Sahar Shirani
Director, Engineering – Data Science

Sahar Shirani is a civil engineer with extensive background in data analysis and statistical model development. Prior to joining REsurety, she worked at a Boston-based startup focused on treating industrial water, where she conducted market analysis on commodities. At REsurety, she is building and continuously improving the data science platform that powers REsurety’s insights into the renewable energy markets.


Ms. Shirani holds a Master’s degree in Civil & Environmental Engineering from Northeastern University, and a Bachelor’s degree in Civil Engineering from the Amirkabir Unviersity of Technology, in Iran.

Peter Richardson
Engineering Manager, Visualization and Apps

Peter Richardson is an Engineering Manager at REsurety with a focus on data visualization. He has been at the crossroads of Energy markets and data management for over a decade working on a variety of projects including human capacity development for renewable energy systems in the Galapagos Islands and the buildout of analytic software packages for financial contracts in wholesale electricity markets. 


Mr. Richardson holds a Bachelor’s degree in Physics from Colorado College, with a minor in Mathematics. 

Owen Miles
Software Engineer

Owen Miles is a GIS specialist with experience in mapping and visualizing large environmental datasets.  Before joining REsurety, Owen worked in the environmental consulting field, where he specialized in numerical modeling and data visualization for environmental projects. At REsurety, he is building GIS and data visualization tools.


Owen has a Master’s degree in Civil Engineering from Queen’s University and a Bachelor degree in Water Resources Engineering.

Omri Schwarz
Software Quality Engineer

Omri Schwarz has a long career of software development, quality assurance, and full-stack software and hardware implementation in academic and commercial contexts. Prior to REsurety, Mr. Schwarz designed, developed and administered quality assurance processes at a quantitative hedge fund, operated Beowulf supercomputers at MIT, and developed software at Fraunhofer. At REsurety, Mr. Schwarz supports the developers by implementing and upgrading the QA process, putting stitches in time to save nine. 


Mr. Schwarz has a Master’s degree in Electrical Engineering and Computer Science from MIT.

Michelle Bowen
Director, Business Development

Michelle Bowen is a business development professional who is passionate about ushering in a new clean energy era. Before joining the REsurety team, she worked in origination of long-term renewable energy offtake agreements at a leading, global renewable energy company.

Michelle holds a Bachelor’s of Science in Civil Engineering from Rice University.

Matthew Livingston
Senior Associate, Risk Analytics

Matthew Livingston is a meteorologist with experience in weather forecasting and data analysis. Before joining the REsurety team, Matt worked for Penn State University as a researcher responsible for collecting and analyzing data retrieved from hail storms to help aid in the prediction of large hail events.


Mr. Livingston holds a Bachelor’s degree in Meteorology with a focus in Weather Risk Management from the Pennsylvania State University. In addition to his meteorology degree, he also minored in Energy, Business and Finance.

Mark Brewer
Data Visualization Engineer
Marion Cundari
Senior Analyst, Transaction Analytics

Marion Cundari is a mechanical engineer with experience in both wind energy and energy efficiency program evaluation. While earning her bachelor’s degree, Marion helped develop a sound based wind turbine condition monitoring prototype as her senior project. After graduation and before joining REsurety, Marion calculated energy and demand savings associated with utility sponsored energy efficiency programs throughout the United States.


Ms. Cundari holds a bachelor of science in mechanical engineering and a minor in economics from the University of Vermont.

Sinéad Barry-O’Brien
COO

Sinéad Barry-O’Brien is a leader in operations with proven execution across varied industries. Putting customers at the center of decision-making, she has driven growth through customer experience, team-building, and process improvement. Sinéad has supported global M&A strategies to build market share. She is passionate about scaling entrepreneurial companies in growth industries.


Sinéad holds a Master’s degree in International Public Policy and Diplomacy, from University College Cork, and a Bachelor’s degree in Commerce from the National University of Ireland, Galway.