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F

FAA

Fund Administration Agent - BSC Agent for Funds Administration in accordance with Section E1.2.4 of the BSC.

Far Curve

Relates to the portion of the forward curve starting at the beginning of the front season.

Faster Switching Programme

Ofgem’s Faster Switching Programme will deliver a number of reforms to the change of supplier arrangements, making change of supplier faster and more reliable for consumers. The reforms include the introduction of a new Central Switching Service (CSS) and a dual fuel Retail Energy Code (REC) to govern the new arrangements.

The Feed-in Tariffs

The Feed-in Tariffs (FITs) scheme was introduced on 1 April 2010, under powers in the Energy Act 2008. Through the use of FITs, DECC hopes to encourage deployment of additional small-scale (less than 5MW) low-carbon electricity generation, particularly by organisations, businesses, communities and individuals that have not traditionally engaged in the electricity market.

Information regarding FIT can be found at DECC: http://www.decc.gov.uk/en/content/cms/meeting_energy/renewable_ener/feedin_tariff/feedin_tariff.aspx

Financial contracts

Whenever a contract‘s value at maturity is settled with a monetary transaction.

FIT

See Feed-in Tariffs

Forward Price Curve

A projection of the future price of a commodity or financial instrument over time, usually based on actual transactions.

FPN

Final Physical Notification

Front Month

Gas or electricity for delivery in the first calendar month that occurs in the future. Also known as Prompt Month.

Front Quarter

Gas or electricity for delivery in the first calendar quarter that occurs in the future. Also known as Prompt Quarter.

Front Season

Gas or electricity for delivery in the first calendar season that occurs in the future. Also known as Prompt Season.

Fundamentals

Factors other than psychological or technical that influence the price development on the physical or futures market, e.g. physical supply and demand, stock levels, currency exchange rates, interest rates, weather forecasts etc.

Futures Contract

An exchange-traded supply contract between a buyer and a seller, whereby the buyer is obligated to take delivery of a fixed amount of a commodity at a predetermined price at a specified location. Futures contracts are traded exclusively on regulated exchanges are settled daily based on their current value in the market.