17 March 2020
emsTradepoint Ltd launches carbon listing on trusted commodity exchange
emsTradepoint Ltd (a subsidiary of Transpower) has today announced the expansion of its successful energy commodity exchange, with the introduction of New Zealand Units (NZUs).
The move comes after the exchange experienced a record-breaking year of natural gas traded volume in 2019 reaching 8.7 PJ for the year ended 31 December.
emsTradepoint is New Zealand’s only exchange for the trade of physical natural gas for producers, wholesalers, industrial users and wider industry participants.
It was first established in 2013 to add flexibility, efficiency and transparency to the gas market, and allow participants to better manage their requirements. In 2015, it became a wholly owned subsidiary of Transpower, the owner and operator of New Zealand’s national electricity grid.
emsTradepoint General Manager Quintin Tahau says with the addition of New Zealand Units, unit holders, liable entities and traders have new choices for managing their carbon activities on a widely used, proven and trusted platform.
“Our platform and practices have been well refined through the continuous improvement process we have run over the past seven years,” he says.
“By introducing a carbon product now, we can ensure our well-established market platform is operating ahead of the auction process that the Ministry for the Environment has indicated will be introduced in early 2021.
“Acting as the central clearing house for all trades, emsTradepoint provides full anonymity for traders, confidence that transactions will be completed and certainty on the timing of unit settlement. With no minimum parcel size, trades of all sizes can be transacted.
Transpower is committed to enabling the decarbonisation of New Zealand’s economy, to help the energy industry determine the most efficient ways it can work together to get to net carbon zero by 2050.
“By facilitating the efficient and secure trading of natural gas – a transition fuel – and now NZUs, emsTradepoint supports a low-carbon future for New Zealand,” Tahau says.