Transcript Folie 1 - Vienna Economic Forum

Electricity trading in
emerging markets
Vienna Economic Forum
Tirana, Albania
8-9 June 08
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GENERAL INFORMATION ABOUT EXAA
 Business Activities:
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Spot Market Energy (43 Participants – 11 countries)
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Trading volume 2007  2,3 TWh ~ Clearing volume 190 Mio. €
Spot Market CO2 (22 Particpants – 6 countries)
Auctions (Gas, CERs, VERs, green certificates...)
Services: Trainings, Consulting
 Unique selling point:
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Lowest Fees in Europe
Fully Internet-based trading platform
First Daily Auction amongst EU exchanges –first price signal
Members
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small & medium electricity utilities, traders, banks
more & more members from CEE & SEE
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EXAA´s role in the energy market
 Market Functions:
Provision and operation of
- Trading system
- Settlement system
EXAA is Central Counter Party
- EXAA guarantees the financial fulfillment of all traded contracts
- EXAA is responsible for Risk Management
EXAA has final responsibility and control
 Our role:
 Price transparency
 Publication of data
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Signal to market !!
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EXAA is Member of CISMOgroup
Emissions
Certificate
Registry
Power and
Carbon
Exchange
Power
Transport
Capacity
Management
Green Energy
Subsidy
Management
Clearing Integrated
Services
and
Balancing
Management
Power
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Balancing
Management
Gas
Market Operations
Group
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CEE / SEE
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Exporter / Importer?
consumption - production [TWh]
600.00
500.00
400.00
300.00
200.00
100.00
0.00
AT
BA
BG
CZ
DE
GR
HR
HU
National electricity consumption [TWh]
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ME
MK
PL
RO
net production [TWh]
RS
SI
SK
Importer
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Situation of Energy market in CEE, SEE:
 Within the countries, there is already largely barrier-free access to
electricity trading, still lack of liquidity:
 Small marktes with different models and market mechanisms EU
market framework needs to be implemented
 So far not many powertrading utilities, some market operators
offer trading opportunities +price indications, exchanges are rare.
 Grid needs:
◦ Cross Border Congestion management,
◦ Better use of inter-connectors => avoid network security problems
◦ Separate trading of capacity rights and energy increase
complexity, expenses and risk
=> Regional cooperation is the key issue !
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Power market scenarios in Europe:
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In Europe there are currently three different models:
1. Exchanges (market operators) do not have direct access
to capacities
2. Exchanges (market operators) will receive a proportion of
the available capacity for use
3. Exchanges (market operators) can trade freely across
borders, because of no congestions,
=> Close cooperation between national regulators,
traders/exchanges and grid operators needed !
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Example: no direct access
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All borders to Austria, except to Germany
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Example: partial direct access
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Trilateral market coupling in BELPEX project
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Example: full access
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Border between Austria and Germany
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What do Exchanges/Traders need
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Three factors are essential to ensure that energy exchanges
can offer cross-border trading
1. Easy market access in all involved countries
2. Access to transport capacities – implicitly traded with power
3. Minimum Liquidity: „Free tradable electricity volumes“
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Why regional cooperation ?
 Development & construction of big power plants need
much time and a huge amount of investments
 Crossborder energy trading leads to:
- Increased supply of power
- Regional price adjustments avoid „price-peaks“ in
international markets
- Better liquidity
- Risk-Optimization
=> Leads to better security of supply !
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Thank you for your
attention !
Jürgen Wahl
E-Mail: [email protected]
www.exaa.at
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