Organisation physical market

The physical market is operated by Nord Pool Spot and NASDAQ OMX Commodities.

Nord Pool Spot:
The power exchange Nord Pool Spot, consisting of Nord Pool Spot AS and its wholly owned subsidiary Nord Pool Finland Oy & Nord Pool Spot AB plus the 50% owned subsidiary Nord Pool Gas A/S, organizes the physical trade of electricity, the day-ahead market Elspot in the Nordic countries and KONTEK in Germany (the TSO area of Vattenfall Europe Transmission GmbH). In addition, Nord Pool Spot operates the intraday market Elbas in Finland, Sweden, Denmark and Germany. Nord Pool Spot is a part of the Nord Pool Group and is owned by the Nordic Transmission System Operators (TSOs): Statnett SF, Svenska Kraftnät, Fingrid Oyj and Energinet.dk.

Nord Pool Spot provides a marketplace to producers, distributors, industrial companies, energy companies, trading representatives, large consumers and TSOs on which they can buy or sell physical power. Nord Pool Spot is the central counter party in all trades guaranteeing settlement for trade and anonymity for participants.

Nord Pool Spot runs the largest market for electrical energy in the world, offering both day-ahead and intraday markets to its participants. Nearly 340 companies from 18 countries trade on the market. The Nord Pool Spot group has offices in Oslo, Helsinki, Stockholm, Copenhagen, Tallinn and London. Nord Pool Spot is owned by the Nordic transmission system operators. In 2010, the group had a turnover of 307 TWh representing a value of EUR 18 billion.

Nord Pool Spot’s Nordic system price is the reference price for NASDAQ OMX Commodities Europe' Nordic financial power contracts.on  The system price is also the reference price for the Nordic over-the-counter (OTC)/bilateral wholesale market and is used as reference for prices given by distributors to the end consumers as well.

Nord Pool Spot has NVE (Norwegian Water Resources and Energy Directorate) as regulatory authority. NVE also issues Nord Pool Spot's marketplace concession. OED (the Norwegian Ministry of Petroleum and Energy) allows Nord Pool Spot to organise the physical exchange of power with neighbouring countries.
 

The clearinghouse:
NASDAQ OMX Clearing (NASDAQ OMX Stockholm AB) enters into financial contracts as a contractual counterparty in NASDAQ OMX Commodities Europe and N2EX as a central counterparty. It assumes full counterparty risk and provides a netted settlement and collateral obligation, thereby transferring the risk for buyers and sellers. NASDAQ OMX Clearing also provides clearing of standardized contracts traded over-the-counter (OTC).

NASDAQ OMX Clearing is authorized and supervised as a multi-asset clearinghouse by the Swedish Financial Supervisory Authority in Sweden, and is also authorized to conduct clearing operations via its Norwegian branch NASDAQ OMX Oslo by the Norwegian Ministry of Finance.

For further information, please visit www.nasdaqomxcommodities.com