Twenty years ago, I worked with a number of large utilities across the US to build a solution for tracking SO2 Emission allowances as part of the US Acid Rain program. The solution we created ended up being used by over 50 utilities in the US, representing about 2/3 of all the allowances available in the market. It was a fairly expensive product and difficult to build as we were establishing new business processes and learning about emissions trading.
Leveraging that experience, xOverTime has released a new solution for compliance instrument portfolio management called xCITSS. This solution is more powerful than what we built 20 years ago and is offered for less than the cost of what we sold the original solution 20 years ago, not even adjusted for inflation. How did we do that? We leveraged the new open structure of Microsoft Excel and we’ve augmented Excel with the xOverTime technology to support the solution with a cloud database.
The driver for this new solution is the California GHG Cap and Trade program (Assembly Bill 32, or AB32). Working with a couple of municipal utilities here in California, xOverTime has built a solution that delivers transaction management, portfolio management, accounting, and position management for a very low cost. Starting with the base solution, xOverTime, or the companies themselves, can work to customize the solution and reporting. Since it is based upon Excel, these small agencies can easily make the changes they need themselves going forward without the need for long term solution consulting. This week, xOverTime is presenting the solution at the Energy, Utility, and Environment (EUEC) conference in San Diego along with Turlock Irrigation District.
If you are wondering about the name, CITSS is short for Compliance Instrument Tracking System Service, the registry used by California for tracking compliance instruments in AB32. This same registry is used for the GHG program in Quebec. xOverTime has designed the solution to also handle SO2 and NOx allowances as part of the US EPA CAIR program.
We’re looking forward to introducing this exciting new technology to companies in need of a more rigorous solution for managing their compliance instrument portfolios and related accounting.