Vattenfall Starts Trading UK Power Contracts on N2EX Exchange

Business & Finance

Vattenfall Energy Trading has started trading UK power contracts on the N2EX exchange. The company commenced trading at the day-ahead auction and is extending its activities to all other exchange based products.

“Vattenfall has high ambitions and several ongoing projects to grow electricity generation from wind energy in Northern Europe, and especially in the United Kingdom,” says Stephen Asplin, Head of Vattenfall Energy Trading. “Expansion of our trading activities to N2EX is part of this overall strategy.” As the output of wind farms can vary in every hour, commercial operators of wind farms need to be able to trade hourly profiles. The N2EX, a market place for UK wholesale power, started a liquid day-ahead auction for hourly products in 2010.

In 2010, Vattenfall inaugurated the world’s largest offshore wind farm, Thanet, located off the coast of Kent. Currently, the company operates another two wind farms in the UK and is developing several onshore and offshore wind projects. It has also been awarded rights to develop up to 7,200 MW of wind capacity together with ScottishPower Renewables. Vattenfall is investing in renewable energy on a commercial basis as a commitment to contribute to a reduction of CO2 emissions.

Vattenfall Energy Trading has been a member in the UK energy market since 2002. From its Amsterdam office, the Trading unit is active in UK power and green certificates as well as in natural gas at the National Balancing Point, the virtual hub for UK.

Vattenfall Energy Trading, which is part of the business division “Asset Optimisation and Trading”, is the central trading hub of the Vattenfall Group and one of the leading energy merchants in Europe. It trades electricity, gas, coal, oil, freight and emissions and takes responsibility for a diversified sourcing of power, fuels and carbon credits.

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Source: vattenfall, March 22, 2011