ICE UK Electricity

From MarketsWiki

The ICE IPE Electricity Futures Contract is a deliverable contract through which each clearing member with a position open at cessation of trading for a contract month is obliged to make or take delivery of electricity to or from National Grid Transco in accordance with IPE Regulations.

UK Electricity futures
Exchange	ICE
Settlement	Physically delivered
Trade Unit	One or more lots of Electricity of 1MW per lot. Energy content for each day is 24 MWh (23/25MWh on GMT/BST switch days)
Point Value	Need point value!
Tick Value	1 pence /MWh x the number of hours in the delivery period
Contract Months	EFA ‘blocks’ have an anchor point of 31/12/01 starting with 4,4,5 week cycles. Month contracts are based on the number of days in an EFA Peak month, 20 in January, February, April, May, July, August, October and November; 25 days in March, June, September, December. Exceptions are December 2004 which will have 30 days and any December thereafter where the numbering of weeks under the EFA Calendar results in a sixth week for the month. A quarter is made up of two 20 day months and a 25 day month. The exception is the quarter containing December 2004 which will have 30 days and any December thereafter where the numbering of weeks under the EFA Calendar results in a sixth week for the month. A season consists of 6 months commencing April, and October.
Last Trading Day	Two business days prior to the first EFA calendar day of the delivery period
Note: This contract is electronic ONLY -- no open outcry
	No Open Outcry	Electronic
Trading Hours	N/A	07:00 hours to 17:00 hours London local time
Ticker Symbol	N/A	N/A
Price Limits	N/A	There are no limits

Notes

Trading Period/Strip involves 12-month contracts, six quarter contracts and four season contracts. The expiration date for the contract is two business days prior to the first EFA calendar day of the delivery period.

Month contracts are based on the number of days in an EFA month, namely 28 days in January, February, April, May, July, August, October and November; 35 days in March, June, September, December. Exceptions are December 2004 which will have 42 days and every sixth year there is an additional week added to one of the EFA periods.

The delivery/settlement basis delivery is fulfilled by the debit of electricity from the energy account of one party and the credit of electricity to the energy account of the other party for every half hour settlement period of the delivery month.

Delivery is effected by the submission (and acceptance with no subsequent rejection) of energy contract Volume Notifications by an Energy Contract Volume Notification Agent to an Energy Contract Volume Aggregation Agent on behalf of the two delivery parties. A clearing member with a contract open at cessation of trading for that month must deliver the number of lots open at a rate of 1 MW during each settlement period of the first and each subsequent day of the delivery month.

References