ENERGY RISK AWARDS 2023
- Nodal was named Commodity Exchange of the year at Energy Risk Awards 2023 by Risk.Net for the sixth time. Thank you to our trading and clearing community for your tremendous support through the years!
NODAL POWER HIGHLIGHTS
- Nodal set a calendar month trading record in power futures with traded volume of 306 million MWh, up 25% from April 2022.
- Open interest at the end of April for power futures was 1.269 billion MWh, representing $117 billion of notional value based on both sides.
NODAL ENVIRONMENTAL HIGHLIGHTS
- Nodal set a calendar month record in environmental future and options trading with volume of 43,833 lots, up 179% from April 2022.
- Open Interest in environmental markets reached a record high of 255,418 lots in April, up 33% from April 2022.
Nodal Exchange named Commodity Exchange of the Year by Energy Risk
Nodal Exchange has been named 2023 Commodity Exchange of the Year by Energy Risk magazine. The prestigious Energy Risk Awards, now in their third decade, recognize excellence in financial risk management across the commodities sector.
Nodal Exchange is a leader in innovation, having introduced the largest set of electric power locational (nodal) futures contracts and the largest set of environmental contracts in the world. Nodal Exchange is the market leader in North American power futures achieving a record 52.4% share of open interest at the end of April 2023. Nodal set a calendar month record for April with traded power futures volume of 306 million MWh, up 25% from 244 million MWh in April 2022.
Nodal Exchange achieves records in power and environmental futures with 25% and 179% growth respectively in trading volume in April
Nodal Exchange today announced new records in power and environmental futures. In power, Nodal set a calendar month record for April with traded power futures volume of 306 million MWh, up 25% from 244 million MWh in April 2022. Nodal continues to be the market leader in North American power futures with a record 52.4% share of open interest at the end of April with 1.269 billion MWh open interest representing $117 Billion of notional value based on both sides.
Nodal posted a monthly volume record in environmental markets of 43,883, topping the prior record of 35,787 lots in May 2022 by 23% and growing 179% over April 2022. Open interest in environmental products on Nodal Exchange also reached a record high of 255,418 lots in April, up 33% from 192,707 at the end of April 2022.
Nodal Exchange and IncubEx collaborate to expand the largest suite of environmental futures and options with new REC and California offset contracts
Nodal Exchange and IncubEx announced today the pending launch of two new renewable energy certificates (REC) futures related to the PJM REC markets and a new California Compliance Offset futures contract.
These first-of-their-kind contracts further expand the world’s largest exchange-listed suite of environmental products on Nodal Exchange, which tops more than 100 environmental futures and options contracts. The new physically-delivered futures contracts are planned for launch on Nodal Exchange on Friday, May 26th, pending regulatory review, include:
- California Carbon Offset Zero (CCO-0) with Direct Environmental Benefits (DEBS) Futures: This contract delivers greenhouse gas reduction or avoidance emissions of air pollutants offsets with Direct Environmental Benefit (“DEBS”) to the State of California issued by the California Air Resources Board via the California Compliance Instrument Tracking System Service (CITSS).
- Virginia Compliance Renewable Energy Certificate (REC) Futures: Delivers RECs from the PJM Generation Attribute Tracking System (PJM GATS) based on the Renewable Energy requirements specified in Virginia’s Renewable Portfolio Standard statute.
- PJM Quad-Qualified Renewable Energy Certificate Futures: Delivers RECs issued by PJM GATS qualified across the Class 1/Tier1 requirements in each of the states of Pennsylvania, New Jersey, Maryland, and Virginia.
The new products are based on market feedback and complement contracts listed on California Carbon Allowances and Offsets. The Virginia and PJM Quad-Qualified contracts on Nodal expand the broadest set of PJM-related REC futures and options.
“These products further expand the comprehensive PJM REC suite and California compliance suite listed on Nodal Exchange,” said Dan Scarbrough, President, and COO of IncubEx. “PJM-related contracts represent the broadest product group and the largest amount of open interest among the environmental markets on Nodal. The California Carbon DEBs Offset contract is a first of its kind tool for entities managing risk and optimizing their compliance obligations in the California carbon market. We’re pleased to work with Nodal on expanding the product offering.”
“The product growth and recent records in volume and open interest across the environmental markets suite illustrate how Nodal is continuing to meet customer needs across the environmental, power and natural gas markets,” said Paul Cusenza, CEO of Nodal Exchange. “We will continue to listen to customers to provide the products and services they want and need.”
Nodal in the news
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.