Euronext and Nord Pool launch power futures market
27 August 2024 Netherlands, Norway
Image: EMRAN/stock.adobe.com
Euronext has partnered with Nord Pool to launch a Nordic and Baltic power derivatives market.
The new Euronext Nord Pool Power Futures market will be traded on Euronext’s pan-European Optiq trading platform and cleared by Euronext Clearing.
Through the new market, Euronext aims to provide a long-standing, sustainable market infrastructure committed to developing secure power futures trading in the Nordic and Baltic regions, with a strong Nordic foundation, the firm says.
Euronext Nord Pool Power Futures will offer trading of cash-settled futures for all maturities on System Price and EPADs across the Nordics and Baltics, with underlying spot indices provided by Nord Pool.
Tom Darell, CEO at Nord Pool, says: “The Nordic and Baltic power market is showing a recovery since the energy crisis, but action is needed to cement and accelerate that recovery.
“Nord Pool and Euronext will work to bring back liquidity to Nordic power derivatives, with a set-up which will attract OTC traded volumes into the market.”
The announcement follows a consultation with market participants from the Nordic and Baltic power sectors.
“Their message has been clear: end uncertainty in the power derivatives territory by delivering a liquid power futures market, run by a business with commitment and a vision for the future,” Darell adds.
Camille Beudin, head of diversified services at Euronext and chairman of the board of directors at Nord Pool, comments: “The launch of Euronext Nord Pool Power Futures presents a unique opportunity to combine the skills and expertise of Euronext across energy markets with a firm Nordic base, harnessing industry knowledge, trading and clearing of financial products, in order to deliver an attractive and competitive offering for customers.”
Client testing of Euronext Nord Pool Power Futures will open in March 2025.
The new Euronext Nord Pool Power Futures market will be traded on Euronext’s pan-European Optiq trading platform and cleared by Euronext Clearing.
Through the new market, Euronext aims to provide a long-standing, sustainable market infrastructure committed to developing secure power futures trading in the Nordic and Baltic regions, with a strong Nordic foundation, the firm says.
Euronext Nord Pool Power Futures will offer trading of cash-settled futures for all maturities on System Price and EPADs across the Nordics and Baltics, with underlying spot indices provided by Nord Pool.
Tom Darell, CEO at Nord Pool, says: “The Nordic and Baltic power market is showing a recovery since the energy crisis, but action is needed to cement and accelerate that recovery.
“Nord Pool and Euronext will work to bring back liquidity to Nordic power derivatives, with a set-up which will attract OTC traded volumes into the market.”
The announcement follows a consultation with market participants from the Nordic and Baltic power sectors.
“Their message has been clear: end uncertainty in the power derivatives territory by delivering a liquid power futures market, run by a business with commitment and a vision for the future,” Darell adds.
Camille Beudin, head of diversified services at Euronext and chairman of the board of directors at Nord Pool, comments: “The launch of Euronext Nord Pool Power Futures presents a unique opportunity to combine the skills and expertise of Euronext across energy markets with a firm Nordic base, harnessing industry knowledge, trading and clearing of financial products, in order to deliver an attractive and competitive offering for customers.”
Client testing of Euronext Nord Pool Power Futures will open in March 2025.
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