The European Energy Exchange (EEX) reinforces its commitment on the Nordic power market with new products and a regional presence. On 16 February 2015, EEX will launch exchange trading in Nordic power futures. One day later, it will introduce Location Spreads for further market areas. In addition, EEX plans to open an office in Oslo shortly in order to support customers on site and to better service the market’s needs for further development. EEX’s presence in the Nordic Market is supported by Geir Reigstad, an expert for the Scandinavian energy market, who is working as a consultant for the exchange.
“As a result of the new order book, our market participants will also be able to trade the price difference between Phelix Futures and Nordic power futures and benefit from cross-margining effects between these markets”, explains Steffen Köhler, Chief Operating Officer of EEX.
The clearing model of the European Commodity Clearing (ECC) is another major advantage for customers as the daily margin calculation already fulfils the EMIR (European Market Infrastructure Regulation) requirements today. In contrast, the collateralisation of exchange derivatives transactions with bank guarantees, which is commonly used on the Nordic power market at present, will no longer be permitted from 2016 on in accordance with EMIR. “In this respect, EEX and ECC provide trading participants regulatory security for transactions on this market”, adds Steffen Köhler.
In addition to the new Nordic power futures, contracts with delivery in Germany, France, Italy, the Netherlands and Belgium are also available on the EEX Power Derivatives Market. Concurrently with the Nordic power futures, EEX will also launch exchange trading for Spain and Switzerland in February. Trading participants can already register trade transactions for these markets on EEX for clearing today.
The European Energy Exchange (EEX) is the leading energy exchange in Europe. It develops, operates and connects secure, liquid and transparent markets for energy and commodity products. Contracts on power, coal and CO2 emission allowances as well as freight and agricultural products are traded or registered for clearing on EEX. EPEX SPOT, Powernext, Cleartrade Exchange (CLTX) and Gaspoint Nordic are also members of EEX Group. Clearing and settlement of all trading transactions are provided by the clearing house European Commodity Clearing (ECC).