Leipzig, 4 September 2024 – The European Energy Exchange (EEX), in collaboration with IncubEx, has successfully launched four new futures contracts on Guarantees of Origin (GO). Launched on 2 September, the new GO Futures include four separate contract types: a general contract for European renewable power GOs and three technology-specific products, for wind, hydro and solar.
The launch day saw both trading on-exchange and trade registration in the European Renewable Power GO contract. The very first trade was registered for clearing between Uniper and ENGIE in the European Renewable Power GO contract, with a volume of 50,000 GOs, brokered by ICAP. Also on Monday, EEX saw the first screen trade on the exchange in the same contract, concluded between Compagnie Nationale du Rhône and another counterparty, with a volume of 1,000 GOs. The total traded volume so far stands at 112,000 GOs.
Peter Reitz, EEX Chief Executive Officer, comments: “Our new GO Futures were developed to enable price risk hedging, increase transparency and minimise counterparty risk through standardised, cleared contracts. We’re pleased to see the high level of interest with first trades concluded both on screen and as over-the-counter trade registration.”
Morten Erik Pettersen, Director Power Trading and Optimization, Uniper says: “We are pleased to see that EEX is making an important instrument available to the market for guarantees of origin. The accessibility of a clearing mechanism removes the largest obstacles of the current market, the availability of bilateral credit lines. We believe that EEX with its new offering will contribute to the further development and strive of the market for guarantees of origin, which is essential to our ambitions to combat climate change and cover the increasing power demand.”
“We are excited to collaborate with EEX on these innovative new products and appreciate the early support from market participants,” adds Michael MacGregor, Chief Executive Officer of IncubEx. "GO futures provide valuable risk management tools for market participants including producers and consumers of renewable energy, marking a major step in the development of price discovery and liquidity further out the curve."
GO Futures are physically delivered and bring participants standardisation and price transparency while minimising counterparty risk by clearing through European Commodity Clearing (ECC). The EEX GO Futures will be listed and cleared alongside power, natural gas and European emission allowances (EUA) futures and options on EEX.
For more information on the new GO Futures please visit the EEX website.
Press contacts:
EEX Public Relations
T +49 341 2156-300
presse@eex.com
IncubEx
Jim Kharouf, Communications Director
P: 773-391-0439
jim.kharouf@theincubex.com
About EEX
The European Energy Exchange (EEX) is a leading energy exchange which builds secure, successful and sustainable commodity markets worldwide – together with its customers. As part of EEX Group, a group of companies serving international commodity markets, EEX offers contracts on power, natural gas and emission allowances as well as freight and agricultural products. EEX also provides registry services as well as auctions for Guarantees of Origin, on behalf of the French State.
About IncubEx
IncubEx is an incubator for products, services and technology solutions in environmental markets with partners and stakeholders to design and develop new financial markets, technologies and trading solutions in global environmental, climate risk, and related commodity markets. The company collaborates with the European Energy Exchange (EEX) and its U.S. subsidiary, Nodal Exchange on listed environmental products. The IncubEx team is led by former key executives from Climate Exchange, which pioneered exchange-listed environmental futures and options contracts and CCX, the world’s first and only voluntary, but legally binding greenhouse gas emission reduction and trading program. IncubEx, a privately held company founded in 2016 with offices in Chicago and London, is uniquely positioned to capture these opportunities globally with its partners. For more information, please visit https://theincubex.com/.