The European Energy Exchange (EEX) and the Kazakh commodity exchange Caspi JSC have concluded a cooperation agreement.
Signed on 15 May 2014 at the International Carbon Forum in Astana, Kazakhstan, both companies expressed their joint commitment to develop exchange-based emissions trading within the Kazakh emissions trading scheme.
“EEX supports the use of market-based instruments in climate policy and the long-term vision of a globally-linked emissions market,” says Peter Reitz, chief executive officer of EEX. “Therefore, we appreciate Kazakhstan’s engagement as the first Asian country to launch a national carbon market and are glad to support the development of Caspi JSC as the Kazakh emissions market.”
“EEX has high expertise in operating a regulated market for emissions trading,” adds Yelnar Nadyrgaliyev, chairman of the board of Caspi JSC. ”We are pleased to be able to benefit from that as this will be a crucial success factor in establishing an emissions market in Kazakhstan.”
In the framework of their cooperation, EEX and Caspi JSC will also evaluate the implementation of the trading technologies of Deutsche Börse for the operation of the Kazakh emissions market.
In 2013, Caspi JSC was officially appointed as the only national exchange platform for trading and auctioning emission allowances in Kazakhstan by the Ministry of Environment Protection and Water Resources. Following a pilot phase for the Kazakh emissions market which started at the beginning of 2013, the second trading period followed in 2014.
EEX spun off its Emission Markets into a separate company in early 2013, reflecting the increasing international connection of emissions markets and the development of new trading schemes worldwide. This strategic spin-off allows EEX to develop emerging emissions markets, for example through co-operations with local partners.
