IntercontinentalExchange Group (NYSE: ICE), the leading global network of exchanges and clearing houses, today announced that ICE Endex has been appointed as the market operator for the Dutch natural gas balancing market from June 3, 2014. In conjunction with the appointment, the Dutch gas transmission system operator Gasunie Transport Services (GTS) will perform the balancing for the within day market operated by ICE Endex.
Earlier this year, the European Commission adopted the European Network Code on Gas Balancing of Transmission Networks (BAL) and in April the Dutch Authority for Consumers and Markets (ACM) authorised changes to the Dutch natural gas balancing regime. One of the key elements of the European Network Code is the transition of the balancing regime from the current bid price ladder operated by GTS to a within day market, which will be operated by ICE Endex.
ICE Endex will assume responsibility for the Netherlands’ Title Transfer Facility (TTF) natural gas balancing operations from GTS. In order to balance the grid, GTS will buy and sell natural gas on the ICE Endex Dutch TTF within day market. The intra-day balancing actions of GTS on the within day market will also help support the market by setting the balancing charges for all shippers.
Pieter Schuurs, President, ICE Endex said: “We are delighted to have been awarded the role of balancing market operator in the Netherlands by GTS. I am confident that based on our extensive experience and expertise in operating the gas balancing markets in the UK and Belgium, combined with ICE’s state of the art trading technology, and the support of our members, ICE Endex will be able to deliver a best-in-class service to GTS and further develop supply and demand for this important market.”
Annie Krist, CEO of GTS said: “As the operator of the Dutch gas grid, we are constantly looking at market led solutions to improve our services to customers. I look forward to working with ICE Endex to provide a liquid, transparent and robust gas balancing market which is mutually beneficial to all industry participants and further strengthens our gas roundabout.”
Prior to the exchange operating the Dutch gas balancing market, the ICE Endex TTF and Zeebrugge Trading Point (ZTP) gas spot markets were successfully migrated to the ICE trading platform on April 29, 2014. Platform enhancements for market users included improved integration with Independent Software Vendors (ISVs); locational spreads between Dutch TTF and Belgian ZTP gas spot markets; and products specifications aligned with those commonly used on the OTC market.
