On September 14, 2015 the European Energy Exchange (EEX) launched Cap Futures, which allow to hedge against price peaks that may occur on the German intraday power market.
|DE000A160PX2||A160PX||C1B1||German Intraday Cap Future|
|DE000A160PY0||A160PY||C1B2||German Intraday Cap Future|
|DE000A160PZ7||A160PZ||C1B3||German Intraday Cap Future|
|DE000A160P05||A160P0||C1B4||German Intraday Cap Future|
|DE000A160P13||A160P1||C1B5||German Intraday Cap Future|
The amount of the payment corresponds to the difference between the market price, measured by the ID3-Price published by EPEX SPOT, and the amount of the cap. The Cap Future is a financially settled derivatives contract developed against the backdrop of the increasing generation of renewable energies, which cannot be planned reliably in advance. This in turn, means that an increasing number of price peaks can occur on the German Intraday Market. For example, the Cap Future enables marketers of wind energy to hedge against high prices for compensating purchases should the wind yield prove to be lower than expected. Operators of conventional, flexible power plants can hedge against the price peaks to be expected in advance and, therefore, secure the expected revenues from price peaks.
ZEMA collects thousands of regular data reports on power, more than 700 of which are based in Europe. To learn more about ZEMA’s huge data library, visit www.ze.com/the-zema-solutions/data.
Effective Date: September 14, 2015