The European Energy Exchange (EEX) has won the Europe-wide tender of the German Environment Agency for the next German auction platform for CO2 emission allowances.
Starting on 15 November 2018 for a period of three years, with the option to extend the contract for another two years, EEX will continue to conduct weekly auctions of emission allowances in the framework of the EU emissions trading system (EU ETS).
“We are pleased about the trust which the German authorities place in us and about the further cooperation in the primary market auctions”, says Peter Reitz (pictured), CEO of EEX. “EEX has established itself as the leading auction platform for emission allowances in Europe and therefore, provides an important price reference for the whole market. With the renewal of the contract for Germany, we keep on strengthening this position”.
EEX has conducted auctions for CO2 emission allowances of the Federal Republic of Germany since 2010. The current contract expires on 14 November 2018. Before auctions can start under the new mandate, EEX needs to be included in the Annex of the EU Auctioning Regulation.
The German auctions of general allowances (EUA) are always held on Fridays, with the bidding window open from 9:00 am until 11:00 am (CET). German auctions of aviation allowances (EUAA) are conducted in a single annual auction on a Wednesday afternoon.
Since 5 January 2010, EEX has auctioned more than 1 billion emission allowances on behalf of the Federal Republic of Germany and generated a revenue of more than EUR6.6 billion. These funds have been used almost completely for financing national and international climate protection measures.
In addition, EEX also carries out the auctions for emissions allowances on behalf of the European Commission and the 25 EU member states taking part as well as Poland. In 2017, a volume of approximately 850 million allowances was auctioned via the spot market of the exchange – this corresponds to approximately 90 per cent of the emission allowances issued through primary market auctions in Europe.
