Interstate Municipal Gas Agency

We're your partner for success!

Risk Management

Energy markets can be volatile and unpredictable.  Communities across America learned those facts in December, 2005 when the price of natural gas reached an all-time record high of $15.47 per MMBtu and again during the summer of 2008 when price rose dramatically.  IMGA can help protect your community from market volatility and the high prices which often accompany it. 

IMGA staff have the knowledge and experience to know that "cookie cutter" and "one-size-fits-all" approaches just don't work when it comes to natural gas risk management.  Your community may have different priorities from others we serve.  You may have a greater tolerance for -- or avoidance of -- risk in the market place.  You may want to be closely involved in every aspect of managing your risk -- or you may want IMGA to handle all the details for you.

That's why we will work with your community to design the risk management plan which is best for your specific circumstances.  We will find the specific combination of risk management tools which meet your needs, and with which you are comfortable.  And we won't implement any part of that plan without your specific approval.

For some IMGA communities, our MarketEDGE® rolling purchase program may be an attractive alternative.  Under this innovative new program, risk is minimized through a planned series of futures purchases at critical points throughout the year.  Much like dollar cost averaging, the MarketEDGE® program allows you to buy more gas when prices are low, and less when prices go up, resulting in a lower overall price.

For more information on your risk management options, contact an IMGA staff member today.