Nodal Newsletter | March 2023
Nodal Highlights
NODAL POWER HIGHLIGHTS
- On February 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 started the year strong with record trading volume of 562.7 million MWh for the months of January and February combined.
NODAL ENVIRONMENTAL HIGHLIGHTS
- As of end of February, Nodal witnessed a 24% increase in open interest in its environmental market trading with a total of 228,188 lots, up from 183,715 a year earlier.
- Open interest across the renewable energy certificate (REC) contract group hit a new high of 213,450 lots in February.
Nodal environmental futures open interest grew 24% in February
Nodal Exchange posted several open interest records in its environmental markets in February. Open interest hit a record 239,303 lots on February 23 and ended the month at 228,188 lots, up 24% from 183,715 a year earlier.
Key environmental markets continued to post record open interest during the month. Open interest across the renewable energy certificate (REC) contract group hit a new high of 213,450 lots. PJM-related REC futures reached a record 125,360 lots, Texas CRS wind and solar RECs reached a new record of 45,957 lots and NEPOOL-related RECs hit a record 39,366 lots.
First Washington Carbon Allowance auction spurs trading on Nodal Exchange
On February 28, the first Washington Carbon Allowance auction was held. The state sold all 6.18 million allowances and posted a settlement price of $48.50. Washington Carbon Allowance futures on Nodal traded 335 WCA contracts (equivalent to 335,000 allowances.) Washington Carbon Allowance futures contracts are only listed on Nodal Exchange and physically deliver Washington Carbon Allowances from the Washington registry.
Congrats to Washington on this milestone and thanks to all supporting this new market on Nodal!
Nodal launches NJ-PA Tier 2 Dual-Qual Futures and Options
Nodal launched NJ-PA Tier 2 Dual-Qual Futures and Options – an innovative and unique contract developed in collaboration with IncubEx – on the 17th of March. These contracts are exclusively available on Nodal and qualify under the Renewable Portfolio Standard program of both Pennsylvania and New Jersey.
Upcoming Events
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 17-29, 2023
PLATTS GLOBAL POWER MARKETS CONFERENCE: Nodal Exchange will be sponsoring the S&P Global Platts Global Power Markets Conference taking place Monday, April 17 to Wednesday, April 19 in Las Vegas, Nevada. Paul Cusenza, Chairman and CEO of Nodal will be participating in the Industry Leadership Discussion on Day 2 of the conference. For more information visit:
Platts Global Power Markets Conference
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 1-3, 2023
PJM ANNUAL MEETING OF MEMBERS: Nodal Exchange will be sponsoring the PJM Annual Meeting of Members taking place Monday, May 1 to Wednesday, May 3 in Cambridge, MD. For more information visit:
PJM Annual Meeting of Members
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
February 2023
Nodal power futures grow 22% and environmental futures 36% in January
Learn more
January 2023
Nodal achieves record traded volume in power & environmentals in 2022
Learn more
December 2022
First Washington Carbon Allowance futures trade on Nodal Exchange
Learn more
About Nodal
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.
