- Today, first clients of brokerage houses have submitted orders to the gas exchange launched on the Polish Power Exchange
- The gas exchange is an important step in the liberalisation of the gas market in Poland. For many consumers, it opens a great opportunity to participate in transparent market-based trade in gas.
The creation of a gas exchange in Poland is a result of focused efforts of many partners engaged in the liberalisation of the Polish gas market including the legislator, the regulators and the business community. All organisational aspects were the responsibility of the Polish Power Exchange (PolPX) and the Warsaw Commodity Clearing House (WCCH), which are both part of the Warsaw Stock Exchange Group. An important contribution came from OGP Gaz System, which is responsible for physical deliveries of natural gas to consumers.
“The launch of the gas exchange marks major change in the activity of the Warsaw Stock Exchange both as an organiser of trade and an institution which once again introduces new quality to the Polish market,” stressed WSE CEO Mr Ludwik Sobolewski.
“I am very happy that Poland follows the example of other European market and initiates a gas exchange. This is a historic moment in the liberalisation of the gas market,” said PolPX CEO Mr Ireneusz Łazor at the opening ceremony of the gas exchange. “As we expected, the market participants are very interested in gas trading on the exchange. The price in the first transaction executed on the Commodity Forward Instruments Market was PLN 116.57 per MWh,” said Mr Łazor.
Similar to PolPX’s electricity market, the gas exchange will mainly be a transparent source of information about the terms of concluded transactions. The development of the wholesale gas market will also improve access to gas deliveries. This will allow market participants to conclude more beneficial contracts on market terms applicable in the EU. The new reality of the gas market will better address the expectations of clients and the entire market in Poland. Already today interest in the local market is strong on the part of many entities which previously could not make deliveries to potential consumers. In a relatively short term, this will improve the competitiveness on the local gas market.
The launch of the Commodity Forward Instruments Market is only the beginning for the gas exchange in Poland. A spot market will become operational by the end of December 2012.
On the Commodity Forward Instruments Market (“RTTg”), market participants can trade in monthly, quarterly and annual contracts on every session. Trading takes place in deliveries of gas in the same amount in all hours of the delivery period. Continuous trading is scheduled from 8 a.m. to 2 p.m. on business days. Each series of contracts is traded according to the contract trading and execution schedule. The exchange price of each contract is expressed in PLN per MWh.
In the current legal system, exchange transactions on the gas market can be concluded and cleared only with the mediation of brokerage houses and commodity brokerage houses which are members of PolPX and members of the Exchange Clearing House operated by WCCH. The first brokerage houses to sign agreements necessary to operate on the gas market are: Dom Maklerski BOŚ SA, Noble Securities SA and TRIGON Dom Maklerski SA.
The Warsaw Commodity Clearing House is responsible for clearing and settlement of transactions on the gas market. The WCCH’s risk management system ensures safety of clearing to all WCCH members in case of market participant default. Clearing of transactions by the WCCH provides a guarantee of payment for sold gas.
According to the agreement signed between PolPX and GAZ SYSTEM, transactions concluded on the gas exchange are valid and effective between the parties and executed by GAZ SYSTEM.
