EEX cooperates with SEEPEX to launch Serbian power derivatives market

EEX cooperates with SEEPEX to launch Serbian power derivatives market

The European Energy Exchange (EEX) and SEEPEX, the South East European Power Exchange, have entered into a cooperation for the listing of cash-settled power futures. Pending the approval of the relevant authorities, EEX will list Base Months, Quarters and Year Futures for the Serbian market area. The products will be settled against the Serbian day-ahead spot price as calculated by SEEPEX. Both exchanges envisage the launch of the new contracts in early 2019.

Milos Mladenovic, Managing Director of SEEPEX, comments: “We are looking forward to this promising cooperation. The listing of Serbian power futures at EEX will contribute to further develop liquidity and confidence in the Serbian power spot market, which is developing rapidly to become a main hub for cross border trading in the SEE region, placing SEEPEX as a relevant role model for all other neighboring power exchange initiatives.”

Dr Tobias Paulun, Chief Strategy Officer of EEX, comments: “This steps follows our strategy of establishing a Pan-European offering for power trading, also with a focus on the emerging power business in the Eastern and Southeastern European markets.”

The cooperation will foster the development of the Serbian electricity market, which has seen strong growth in 2017 and particularly 2018. All market participants will benefit from the standard product setup which enables them to use Serbian Power Futures as a tool to hedge against price risks in the local power spot market, benefitting from high-level standards both in terms of derivatives trading and clearing services.

 

The European Energy Exchange (EEX) is the leading energy exchange in Europe which develops, operates and connects secure, liquid and transparent markets for energy and related products. As part of EEX Group, a group of companies serving international commodity markets, EEX offers contracts on Power and Emission Allowances as well as Freight and Agricultural Products. EEX is part of Deutsche Börse Group.

SEEPEX a.d. Beograd (SEEPEX) is a licensed Market operator in Serbia established as a joint stock company in the form of strategic partnership between EMS and EPEX SPOT. As a first non-EU power exchange in the SEE region, SEEPEX operates an organized Serbian electricity market in line with the best European practice in this field, with the standardized electricity products and delivery within a day-ahead time frame. Clearing and settlement are performed by the clearing house European Commodity Clearing (ECC).

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