EEX enters Japanese power market with launch of clearing services

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The European Energy Exchange (EEX) has launched a new clearing offering for Japanese Power Futures, marking an important milestone for EEX’s Power Derivatives portfolio and the Asian buisness of EEX Group as a whole. 

The first trade totalled a volume of 11,040 MWh and was concluded by the power utility companies, Tohoku EPCO Energy Trading Co and ENGIE Global Markets with brokering services provided by the Japanese commodity brokerage firm, enechain Corporation.

Peter Reitz, Chief Executive Officer of EEX, says: “Today is certainly a landmark day for EEX. This new product offering for Japan represents the first Asian market area on the EEX Power Derivatives platform and also the first EEX Group product specifically designed for the Asian market. However, in many respects, this is just the beginning. Through our 20 years experience in building successful power markets, we know it will take time to develop liquidity over the coming months and years."

EEX’s entry into Japan extends the exchange’s offering on its power derivatives platform to 21 market areas. As the No1 exchange in power trading worldwide for the third consecutive year, EEX has 20 years experience in establishing and developing new markets. This proven track record will enable the exchange to bring credibility, reliability and transparency to the Japanese power market. 

Steffen Koehler, Chief Operating Officer, says: “At the beginning of this project, almost two years ago, we made a commitment to the industry, to develop a cleared long term solution for the Japanese power market. I would like to thank all stakeholders across the entire value chain for their encouragement and support which has enabled us to get to this point.

“In particular, I would like to offer my sincere thanks to all parties involved in the first trade; Tohoku, ENGIE and enechain. Today’s first trade brings substance to our original message, that EEX would build a credible Japanese offering in partnership with the market, both domestically in Japan and internationaly around the world. The past two years have a been an incredible journey and I look forward to further developing this exciting and dynamic market, hand in hand with the industry.”