Nodal Newsletter | February 2023
NODAL POWER HIGHLIGHTS
- Nodal Exchange had a record-breaking month in January 2023, registering a 22% surge in traded power futures volume as compared to the preceding year. The cumulative volume for the month amounted to 270.8 million MWh.
- In addition to Nodal’s record trading in January, on Feb 7, Nodal saw 51.5 million MWh trade which is second only to the 56.2 million MWh that traded in a day in February 2021.
NODAL ENVIRONMENTAL HIGHLIGHTS
- Nodal witnessed an increase of 36% in its environmental market trading, with a total of 17,225 lots traded, up from 12,620 a year earlier.
- Open Interest in Texas CRS wind and solar futures, as well as California carbon allowances futures saw a significant surge in January.
- Nodal also posted another first-ever trade, NEPOOL Quad-qualified REC futures in January.
Nodal power futures grow 22% and environmental futures 36% in January
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Nodal Exchange announced it achieved a calendar month trading record for January 2023 with 270.8 million MWh of traded power futures volume in the month, up 22% from the prior year. Nodal continues to be the market leader in North American power futures having the majority of the open interest with 1.13 billion MWh at the end of January.
Nodal also posted a calendar month trading record for January in its environmental markets with 17,225 lots traded, up 36% from 12,620 lots a year earlier. Environmental open interest at the end of January was 230,634 lots, up 31% from 176,559 a year earlier.
Several key environmental markets continued to post solid growth during the month, including PJM-related REC futures, which posted open interest of 118,110 lots, up 15.5% from 102,175 lots a year earlier. Texas CRS wind and solar REC futures, the most successful voluntary REC futures launched, hit record open interest of 45,083 lots (equal to 45 million MWh of wind and solar power), up 58% from 28,559 lots a year earlier. Open interest in California carbon allowance futures ended January at 12,928 lots, up 176% from 4,691 lots a year earlier.
First NEPOOL Quad-qualified REC futures trades on Nodal Exchange
Nodal, which collaborates with IncubEx on environmental markets, posted another first-ever trade, NEPOOL Quad-qualified REC futures in January. Only listed on Nodal, the NEPOOL Quad-qualified REC futures contract delivers RECs across Massachusetts Class 1, Connecticut Class 1, New Hampshire Class 1, and Rhode Island New energy resources.
March 14-16, 2023
FIA BOCA CONFERENCE: Nodal Exchange will be attending the FIA BOCA Conference taking place Tuesday, March 14 to Thursday, March 16 in Boca Raton, Florida. For more information visit: FIA BOCA
March 15-17, 2023
WSPP SPRING MEETING: Nodal Exchange will be sponsoring the WSPP Spring 2023 Operating Committee Meeting taking place Wednesday, March 15 to Friday, March 17 in British Columbia, Canada. For more information visit: WSPP Spring Meeting
April 26-28, 2023
FIA LAW & COMPLIANCE CONFERENCE: Nodal Exchange will be attending the FIA Law & Compliance Division Conference taking place Wednesday, April 26 to Friday, April 28 in Washington, D.C. For more information visit: FIA Law & Compliance Division Conference
May 23-25, 2023
E-WORLD ENERGY & WATER FAIR: Nodal Exchange, as part of EEX Group
, will be exhibiting at the E-World Energy & Water Fair taking place Tuesday, May 23 to Thursday, May 25 in Essen, Germany. For more information visit: E-World Energy & Water
Nodal in the news
Nodal achieves record traded volume in power and environmentals in 2022
First Washington Carbon Allowance future trades on Nodal Exchange
Nodal to launch first-ever Washington environmental contracts
Nodal Exchange is a derivatives exchange providing price, credit and liquidity risk management solutions to participants in the North American commodities markets. Nodal Exchange is a leader in innovation, having introduced the world's largest set of electric power locational (nodal) futures contracts. As part of EEX Group, a group of companies serving international commodity markets, Nodal Exchange currently offers over 1,000 contracts on hundreds of unique locations, providing the most effective basis risk management available to market participants. In addition, Nodal Exchange offers natural gas and environmental contracts. All Nodal Exchange contracts are cleared by Nodal Clear which is a CFTC registered derivatives clearing organization. Nodal Exchange is a designated contract market regulated by the CFTC.