On November 29, 2010, within the framework of the project between the Moscow Energy Exchange and RTS Group on developing the exchange’s power derivatives market, trading in futures contracts on the average power price in basic load hours at the "Eastern Siberia" and "Western Siberia" hubs was launched. Trading started simultaneously on contracts with settlement dates in December 2010 and January 2011.
This instrument provides an opportunity to hedge the energy market participants’ risk associated with the fluctuations of power prices and is meant for both the wholesale market of electricity and power and also retail consumers.
Currently, futures on the average power price are traded at the following five hubs: ‘Center’, ‘Ural’, ‘South’, ‘Eastern Siberia’ and ‘Western Siberia’. It is also planned to launch trading in futures contracts on the average power price in peak load hours as well as to increase the number of settlement months.
Detailed information on futures contracts on the average power price
