WBS
The price for the storage capacity is determined sequentially on the basis of SW spreads at dates determined by the customer
The WBS product is based on flexible cost pricing for storage capacity where the price is determined based on SW spreads that are calculated only at the Storage User selected days. The advantage of this product is that volume fixation occurs only when market conditions are favorable for Storage User.
Storage User bids in the auction only on the so-called "add-on" (D), a price that is added (or deducted) to selected SW spreads.
Storage User chooses any day of the week for which fixations will periodically take place until the fixation period ends.
If the price of SW spreads after the addition of "addendum" (D) is on the specified fixation date above the Minimum Price, then the Stoarge User informs the Storage Operator what quantity will be fixed for the price.
If the price is below the Minimum Price, Storage User has the right to decide whether to fix it or not.
Benefits
Period Long Enough to Use Best Market Conditions
Fixing Volume in Advance while Using the Relevant Market Conditions
Possibility of Securing Long Term Capacity
Final Price follows Market Prices
Suitable Mostly for Traders
Option
Flexibility of decision after booking the capacity in auction
FIST
Final price is based on SW spreads
WBS
Price is based on SW spreads at the days selected by Storage User