A new format for conducting trading sessions on the section "Natural Gas" on CE "Ukrainian Energy Exchange"

CE "Ukrainian Energy Exchange" is actively developing the direction of exchange trade in natural gas and constantly improves both the functionality of the electronic trading system and, in general, trading procedure for participants. The result of joint work with market participants and experts is a creation of a transparent price indicator for natural gas in Ukraine, which was made possible due to a constant increase in the number of bidders and, correspondingly, the number of trading sessions are 3-5 per day already. In turn, holding several trading sessions in one day, the time of which intersects, creates a number of inconveniences for participants and increases financial burden on participants when crediting the contributions of a guarantee fee, as a result, reducing the liquidity of each individual trading session. Taking this into account, the Exchange decided to switch to a new form of electronic exchange trading on the Natural Gas section from January 22, 2018, namely, the opening of no more than 2 (two) trading sessions per day: session №1 from 11:00 to 13 : 00, Session №2 from 14:00 to 16:00.

"A year has passed since market participants had a tool for buying and selling natural gas at a fair market price at the electronic exchange trading of the Ukrainian Energy Exchange. Today, we take the next step by making a decision to unite all those who wish to sell, and buy a resource in one trading session. What will this give the market? Buyers will be able to purchase necessary volume at once from several sellers at one time within the limits of one deposited amount of the guarantee fee, and sellers in one session will receive all potential buyers. The authors of the positions, as a rule, are sellers, are defined in the electronic trading system, therefore, buyers who are ready to purchase gas from a particular seller will be able to do this, as before, but they will additionally be able to purchase a resource from other sellers, if necessary. At the first stage, we will open two trading sessions a day with a break between them in one hour. In the future we plan that it will be one trading session per day. This decision will be the preparation of participants and a transitional stage in the implementation of the Law of Ukraine "On the Natural Gas Market", aimed at the implementation of the Third Energy Package, in particular, of the EU Regulation №312/2014 establishing the Network Code for gas balancing in gas transmission systems. As part of creating a competitive short-term wholesale gas market, electronic exchange trades will be held in one trading session at a bilateral counter auction, which will be completely impersonal, that is, participants will not know from whom they buy or whom they sell the resource, “- commented the Exchange’s decision CEO of CE "Ukrainian Energy Exchange" Oleksandr Kovalenko.