Businesses that Challenge Us
Commercialization
We commercialize the energy we generate and deliver energy-efficiency solutions to all our clients, to grow without pause in our region.
GRI (103-1) At Celsia, energy commercialization has transcended the traditional concept of buying and selling the service through face-to-face and digital support, allowing us to become allies en energy efficiency for our clients.
We dare to incorporate products and services that create value, providing well-being to households, facilitating business productivity and contributing to sustainability in the cities, with policies and goals that seek comprehensive business-risk management, from the negotiation to the delivery of products and services to both wholesale and retail clients.
Total Retail and Wholesale Clients
0
Colombia
0
Central America
0
Celsia
Total customers
Retail Commercialization
GRI (103-1) The retailer is the representative of the use of the electrical-energy service before the market, who manages the acquisition and transport of electrical energy from the points of production to the client’s point of consumption, to satisfy their needs for lighting, conservation, transformation, entertainment and others that require the availability of electricity in homes, businesses, industries and Government entities. Since the electricity service is essential in homes and businesses, the marketer in Colombia is subject to the guidelines of the Ministry of Mines and Energy, the regulations of the Energy and Gas Regulation Commission (CREG, in Spanish) and the surveillance of the Superintendencies of Home Public Utilities and Industry and Commerce, in terms of client connection, attention to their requirements, the availability of physical- and virtual-relationship channels, the content of the invoice and compliance with the Uniform Conditions Contract.
Our Management
GRI (103-2)
At Celsia, we stand out for complying with the regulations that impact the quality of the services we provide, diligent attention to clients, the development and sustainability of the market, our allies and products and services, based on cutting-edge technology. Our portfolio includes products and services that improve the quality of life in homes and productivity in companies, focused on efficiency in the use of energy, the availability of service support and the development of sustainable-energy solutions, which include:
- Conventional energy, self-generation, backup energy, efficient lighting and solar energy.
- Electric Mobility: Vehicles and charging stations.
- Thermal district and co-generation.
- Energy Solutions: Electrical projects, efficient lighting, backup energy and others.
- A line with smart products for the home, as well as audio- and video-technology products, cameras, sirens/alarms, computers, televisions, printers, mobile phones, consoles and video games
- Internet service in municipalities in the Departments of Valle del Cauca and Tolima in Colombia (2022).
- Sewer service in Serena del Mar in Cartagena, Colombia
Likewise, our Billing and collection processes allow services provided by third parties to be included in the energy bill, such as:
- Cleanliness.
- Street lighting.
- Mass credit and insurance products.
- Security and citizen coexistence rate in Valle del Cauca and the surcharge per kilowatt hour consumed.
- Aqueduct services in Serena del Mar in Cartagena, Colombia.
Through retail commercialization, we supply energy to clients throughout different municipalities in the Colombian territory:
0
Tolima
0
Valle del Cauca
0
Cundinamarca
0
Chocó
Also, we deliver products and services to non-regulated clients, both in Colombia as well as in Panama.
In Colombia, non-regulated clients are those whose maximum demand surpasses 55 MWh/month or 100 kW of power, and have contracted the energy supply as a large client. In turn, regulated clients adhere to the Uniform Conditions Contract of the chosen marketer.
Finally, in Panama we serve the demand of large clients; that is, those with a demand greater than 55 MWh/month or 100 kW of power.
Main results
GRI (103-3) Our clients are the center of our strategy, which is why we always seek to provide them with a memorable, unique and rewarding experience.
Next, we present the principal results we obtained during 2021:
From July 2021, the new Commercial-Management System has been operating to serve regulated and non-regulated clients in Valle del Cauca, Colombia.
In Valle del Cauca, 139 clients developed self-generation projects with a capacity of 3,017 kW, with a surplus of 465 MWh and a cost of COP 280 million.
In Tolima, Colombia, 106 clients installed self-generation systems, with a capacity of 6,866 kW; 549 MWh were recognized at a cost of COP 231 million.
We started operations in the La Paila (9.9 MW) and El Carmelo (9.8 MW) Solar Farms, located in Valle del Cauca, Colombia.
We began the development of the vehicle-recharging corridor on the Buenaventura, Cali and Bogotá route, available for electric trucks and busses
In Central America, the goals were met: USD 14.5 million in revenue, 10.1 MWp contracted in solar energy and 22.8 GWh-year in energy for large clients.
In Colombia, energy sales were 3,510 GWh, 2.174 GWh in the regulated market (COP 1.3 billion) and 1,335 GWh in the non-regulated market (COP 0.5 billion).
Celsia has developed photovoltaic-energy products at the facilities of 80 clients, generating 75 GWh during 2021, of which the clients consumed 66 GWh and generated revenues amounting to COP 14.729 billion for Celsia.
Clients and electricity sales in the retail market
Client Experience
Our clients are the center of our strategy; for this reason, we always seek to provide them a memorable, unique and rewarding experience. Below, we present the principal results we obtained during 2021:
Income Associated with the Supply of Electrical Energy to Residential, Commercial and Industrial Clients of the Regulated Market in Celsia.
(SASB IF-EU-240-a-1)
0
COP Billion
Residential Clients
Residential Clients
0
COP Billion
Commercial Clients
Commercial Clients
0
COP Billion
Industrial Clients
Industrial Clients
COP
0
average monthly electricity bill for the first 106.18 kWh sold to residential clients each month
0
residential clients previously disconnected and who service was restored within 30 days of the date of the power outage. (SASB IF-EU-240-a-3.)
Average Retail Electricity Rate per kWh of electricity, according to the type of Celsia Client.
(SASB IF-EU-240-a-1)
0
COP/KwH
Residential Clients
Residential Clients
0
COP/KwH
Commercial Clients
Commercial Clients
regulated category
0
COP/KwH
Industrial Clients
Industrial Clients
regulated category
63.23
percentage of power outages that were restored within 30 days. (SASB IF-EU-240-a-3.)
0
electricity outages among residential clients, due to the non-payment of their bill. (SASB IF-EU-240-a-3.)
The indicators for residential clients do not apply to Central America, as we do not have regulated-market clients (retailers) in this region.
Access to energy
SASB (IF-EU-240a.4)
At Celsia, we serve regulated clients in Colombia, in the Departments of Valle del Cauca, Tolima, Cundinamarca (Nilo, Ricaurte and Guaduas) and in San José del Palmar, Chocó. There, we manage the connection of clients to the electricity service under the regulations of the Energy and Gas Regulation Commission (CREG).
The external factors that affect the provision of the service for our clients are:
- Unavailability of networks near the client’s location.
- Failure to comply with the technical requirements of clients.
- Public-order problems and epidemiological risks.
- Difficulty paying for the service due to socioeconomic conditions.
In addition, we have identified some Risks and opportunities of the external factors previously mentioned:
Risks
- Failure to pay the invoice with their own income and for third parties.
- Lower income of the marketer, due to compliance with regulatory standards.
- Difficulty in delivering invoices in high-risk areas, due to the presence of armed groups.
Opportunities
- Development of virtual channels for client service, management of on-site activities, billing and collection.
- Structuring of follow-up processes for the collection of the services provided.
- Development of the Escuela Naranja (Orange School) for clients with topics of general interest.
Wholesale Commercialization
GRI (103-1) Wholesale commercialization is the market where large blocks of energy are exchanged among the different agents, contributing to a reliable supply and the efficient formation of energy prices. These aspects are essential for the economic growth of society, and their proper management leads to the generation of value for the Organization and for our Stakeholders.
Wholesale commercialization allows the sale of generated energy and its firm power (that is, that which is capable of delivering a generation unit with a high level of reliability) available in the short, medium and long term, in order to ensure income, which makes the permanence of existing assts and the development of new projects possible.
Our Management
GRI (103-2) Wholesale commercialization includes the markets in which energy and its attributes can be traded among agents:
Previous
Next
For successful management, we have a specialized team where planning, risk and market analysis, as well as fuel (gas, coal or liquids) supply management – required by our thermal plants – are the starting point that give us the short-, medium- and long-term signals that we use in the operation of the spot market (short term), in the commercialization in contracts (long-term market), the management of the reliability market and other markets.
Main results
GRI (103-3)
We achieved a greater fulfillment of 112.4% of the Commercialization Margin budgeted for the Wholesale Business, compared to the previous year, which was 102%.
We highlight the support management in the event of the failure of the transformer at the Meriléctrica Plant, which started in late 2020 and lasted until May 2021, and which allowed us to maintain the income from the reliability charge and less impact on the unavailability indicator of this plant. Part of the coverage was achieved with the use of firm-energy surpluses and additional energy from the Organization’s resources, in addition to purchases from third parties.
We maintained an outstanding rating for management and processes by clients in this market.
Clients and Electricity Sales in the Wholesale Market
New Challenges
GRI (103-2)
These are our short-, medium- and long-term challenges:
(0 to 2 years)
Retailer:
- Stabilize the Commercial-Management System, together with the technological development of the Company and the Colombian Market.
- Encourage our clients to produce energy for their own benefit, the environment and the diversification of sources of electricity production.
- Continue developing products and services available to our clients.
- Develop solutions that facilitate electric mobility in Colombia, as an environmentally sustainable alternative.
- Extend the regulated-market coverage to clients connected to networks of other distributors.
- Achieve revenues for COP 2 billion in sales of electricity and associated services.
In Central America:
- Achieve 60 MWp in distributed-generation solutions.
- Achieve income for USD 6 million per year in distributed-generation solutions.
- Implement the backup-energy service in Panama and Honduras with 4MW of capacity and gross income amounting to USD 180,000.
- Achieve income of USD 10 million in energy for the large client (non-regulated market).
- Form the Energy-Efficiency Team for: efficient lighting, co-generation and air conditioning.
Wholesaler:
- Meet the marketing-margin goal set for the Wholesale Business.
- Achieve long-term contracting goals, in accordance with the Marketing and Risk-Management Policy.
- Incorporate the portfolio of generation projects that the Organization is developing into Wholesale Marketing Management.
- Increase energy commercialization from third parties.
- Explore tools and management models, and incorporate those that contribute to the continuous improvement of the processes associated with wholesale marketing.
- Explore the sale of Carbon Emission-Reduction Certificates in international markets.
(3 to 5 years)
Retailer:
- Consolidate 2,000 regulated end clients in new markets with conventional energy and products from new businesses that guarantee their retention for compliance with the MEGA.
- Serve 1.3 million clients in Colombia with regulated electric-energy service.
In Central America:
- Reach 100 MWp in distributed generation solutions and achieve income for USD 10 million annually.
- Achieve 14 MW in backup energy with gross income amounting to USD 1 million.
- Achieve the implementation of 2,000 Tons of Refrigeration with income for USD 1.8 million annually.
- Have 10 MW in co-generation with estimated income of USD 5 million annually.
Wholesaler:
- Achieve the long-term contracting goals in accordance with the Commercialization and Risk-Management Policy.
- Incorporate the portfolio of generation projects that the Organization is developing into Wholesale Commercialization Management.
- Explore management tools and models, and incorporate those that contribute to the continuous improvement of the processes associated with wholesale commercialization.
- Ensure revenue from the reliability charge for the Meriléctrica Plant.
(6 or more years)
Retailer:
- Evaluate the Organization’s product and services portfolio to incorporate businesses at the forefront of regulations and technological progress.
- Develop comprehensive product and services offers tailored to the different market segments.
- In Central America, be present in at least one more country.
- Contribute to the development of electric mobility in Colombia, with solutions that facilitate the growth of electric transport and its future sustainability.
- Study the incorporation of new companies in the Colombian electricity sector, which carry out energy distribution and commercialization activities.
Wholesaler:
- Achieve the long-term contracting goals in accordance with the Commercialization and Risk-Management Policy.
- Incorporate the portfolio of generation projects that the Organization is developing into Wholesale Commercialization Management.
- Explore management tools and models, and incorporate those that contribute to the continuous improvement of the processes associated with wholesale commercialization.
Glossary
Non-Regulated Clients: They are large consumers of energy. Due to this condition, they are free to contract the provision of the energy service with the company that offers them the best price in generation and commercialization.
Regulated Clients: The vast majority are residential clients or small businesses with maximum consumption of 55 MWH/month or 100 kW of power.
Retail Commercialization: Transactions between an energy-trading company and the end user, such as homes, business centers, industry, etc.
Wholesale Commercialization: Transactions between the generating agents and the marketers that represent the end clients.
