Industries

Optimal Auctions' expertise has been used in many industries including energy, telecommunications, petrochemicals, pharmaceuticals, and natural resources. Our experience in those industries is relevant to many procurement and asset allocation challenges.


Electricity

Electricity AuctionsAround the world, electric power industries are being restructured to substitute competition for regulation as a means to continue expanding services while controlling costs. Where expert auctions are used they incorporate intricate rules to complement the unique characteristics of electric power markets such as product definition and risk allocation.

Governmental agencies and companies have chosen us to design, host, and administer energy power auctions. We have enabled significant savings for them by creating a more competitive electricity market. Optimal Auctions provides expert economic and business consulting services based on optimizing purchases or sale of critical assets of the electricity industry. Our solutions are made available to a wide range of clients, including industry organizations, investor-owned utilities, generators, power pools, transmission companies, distribution companies, competitive retailers, regulators, and governments.


Telecommunications

Telecommunications Spectrum AuctionsThe increase in the number of wireless subscribers and the introduction of high-bandwidth, data-rich applications have significantly increased the demand for radio spectrum. Governments everywhere recognize the centrality of robust and cost-effective telecommunications services to economic growth. The allocation of spectrum is an important component of the implementation of any competition policy.

Optimal Auctions has recognized leading experts in the area of telecommunications with many years experience in numerous spectrum auctions around the world. Our experience in design and implementation of spectrum auctions includes the European 3G auctions, the US PCS auctions, the Dutch DCS 1800 auction, Australian and Mexican PCS auctions, and most recently, auctions in Sweden, Finland, and Denmark.

We have designed and managed expert auctions as well as provided strategic bidding advice and license valuation to participants in auctions. In many cases, we have conducted mock auctions and created real-time bidding strategy tools to support our clients.


Solar Energy

Solar REC AuctionsThe recent growing interest in earth-friendly energy has also driven a secondary market used to promote the use of these energy sources beyond what the normal market would otherwise support. Part of these secondary markets are the transfer of Solar Energy Credits, which companies can use to offset the cost of consuming carbon-releasing energy sources.

As this burgeoning market begins to take shape, the uncertainties far outweigh the certainties, and thus produce a market where those who buy and sell the credits can not rely on a traditional broker model to act as the middleman. These companies know that they would be at the whim of a broker and forced to pay an extremely large spread, thereby destroying the underlying value of the credit itself.

The beauty of the auction system is that it removes the broker middle-men - buyers and sellers agree on one spot price for the credit, and transaction costs are held to a minimum.

As this aspect of the economy grows, and as carbon-neutral assets become more and more important in the world, especially with the possibility of carbon taxes, these auctions will take on a far greater role in the transfer of these credits and in saving the world.