ICE NGX offers a variety of products across commodities throughout Canada and the US. ICE NGX’s clearing-supported trading model provides an environment in which counter parties can minimize risk while improving price discovery and facilitate back-office processes.
ICE NGX’s gas and power contracts are available for onscreen trading through ICE’s WebICE platform. All ICE NGX futures transactions available on ICE enter the ICE NGX clearing system after trading, allowing traders to utilize ICE trading technology while minimizing risk by using the ICE NGX clearing model. Direct OTC Clearing is also available by contacting the ICE NGX Marketing group. All physical commodities traded on ICE NGX are physically cleared and scheduled by ICE NGX to ensure all delivery obligations are met.
For customers simply looking for real-time and historical market information, ICE NGX offers a Viewing Service that allows access to critical data included in the ICE NGX Trading Reports. Data from ICE NGX gas and power can then be viewed through one system. Different settlement and index information is provided based upon the chosen ICE NGX Viewing service.
ICE NGX offers independent auctions hosted on ICE NGX TradePath. Contracts executed on the ICE NGX TradePath can be cleared through the ICE NGX Clearing system.
ICE NGX’s gas and power contracts are available for onscreen trading through ICE’s WebICE platform. All ICE NGX futures transactions available on ICE enter the ICE NGX clearing system after trading, allowing traders to utilize ICE trading technology while minimizing risk by using the ICE NGX clearing model. Direct OTC Clearing is also available by contacting the ICE NGX Marketing group. All physical commodities traded on ICE NGX are physically cleared and scheduled by ICE NGX to ensure all delivery obligations are met.
For customers simply looking for real-time and historical market information, ICE NGX offers a Viewing Service that allows access to critical data included in the ICE NGX Trading Reports. Data from ICE NGX gas and power can then be viewed through one system. Different settlement and index information is provided based upon the chosen ICE NGX Viewing service.
ICE NGX offers independent auctions hosted on ICE NGX TradePath. Contracts executed on the ICE NGX TradePath can be cleared through the ICE NGX Clearing system.
In addition to contracts available through ICE, ICE NGX offers Ancillary Services electricity contracts through WattEx. These contracts transact on the WattEx trading system.
Effective March 11, 2024 ICE NGX’s environmental products, including for Alberta Emissions Offsets and Emission Performance Credits, are available for onscreen trading through ICE’s WebICE platform and clearing alongside our existing products, providing netting benefits to margin and settlements by having gas, power, and environmental commodities markets all cleared in the same clearing house.
In addition to contracts available through ICE, ICE NGX offers Ancillary Services electricity contracts through WattEx. These contracts transact on the WattEx trading system.
Effective March 11, 2024 ICE NGX’s environmental products, including for Alberta Emissions Offsets and Emission Performance Credits, are available for onscreen trading through ICE ’s WebICE platform and clearing alongside our existing products, providing netting benefits to margin and settlements by having gas, power, and environmental commodities markets all cleared in the same clearing house.
Live ICE NGX Markets can be viewed via WebICE subscription set up through the ICE website. The live viewing subscription is set up and maintained by ICE and is operated independently of ICE NGX. Please contact the ICE data team to enquire about accessing ICE NGX Markets via the WebICE platform. More information can be found via the ICE website at WebICE View Only subscription.
ICE NGX Data Customer services will include the following services listed below (collectively referred to as “ICE NGX Data Access”):
ICE NGX provides a subscription-based service that will allow customers real-time access to proprietary ICE NGX post trade clearing data, including natural gas and power indices and daily NGX price settlements for all markets. Customers are able to gain access to the ICE NGX data as part of the WebICE View Only subscription.
ICE NGX data is also available through ICE Connect.
ICE NGX has been hosting auctions for standard and non-standard electricity contracts on a regular basis since February 2006. In that time, ICE NGX has conducted over 400 auctions of varying methodologies. Proceeds from these auctions have been bilateral or cleared through ICE NGX’s Clearing House. Clearing the proceeds of auctions, depending on availability, may give the auction host a much greater participation rate as any ICE NGX contract holder could potentially participate in the auction process. To date, ICE NGX has hosted and provided auction and market expertise to the Ontario Power Authority, Ontario Power Generation, Bruce Power, ENMAX, EPCOR, as well as ICE NGX’s own cleared Ontario power auctions.
Beginning in June 2015, ICE NGX implemented a new auction platform that provides hosts and participants alike with meaningful reporting, powerful order entry and modification tools, and easy system access. ICE NGX Tradepath has been designed to be easily and quickly configured to host auctions of various commodities.
For more information on ICE NGX Power Auctions, please contact Shane Casey at (403) 974-1710, or the ICE NGX Help Desk at (403) 974-4357.
WattEx is an online trading system for electricity Ancillary Services in Alberta. WattEx commenced operations in 2001 and was wholly acquired by NGX in November 2006.
In addition to facilitating the electronic contract transaction, WattEx also performs clearing functions for Ancillary Services.
Clearing assures all parties perform according to the contracts. This includes monitoring financial positions of participants and tracking physical electricity and ancillary service trade fulfillment.
Ancillary Services are used by the AESO to maintain the stability and integrity of the Alberta Interconnected Electricity System. Both Active and Standby Services are traded for Regulating, Spinning, and Supplemental reserves.
WattEx also offers a unique set of indices and clearing prices based off of the Ancillary Services contracts traded in the Auction.
WattEx products are listed on the ICE NGX TradePath system. This system was developed in 2014 and WattEx is the first auction style market to use ICE NGX Tradepath.
The Ancillary Active Trade Indices, Ancillary Active Clearing Prices, Ancillary Active Clearing Indices and Ancillary Standby Pricing reports are available through the ICE NGX TradePath System and the ICE NGX Reports. The WattEx Index Methodology guide is available in the Downloads & Documentation section.
WattEx Position Monitor, Restatements, Restatement Summary, Order Summary, and Trade Report are available through ICE NGX TradePath. WattEx FVEA (Financial Value of Exchange Activity) report, and WattEx invoices will be available through the ICE NGX Reports.
ICE NGX offers trading and clearing of environmental commodities futures contracts. Clients will be able to see netting benefits to margin and settlements by having gas, power, and environmental commodities markets all cleared in the same clearing house. The buying and selling of environmental credits can be used for large emitters to meet their greenhouse gas emissions target.
Effective March 11, 2024, ICE NGX will offer trading and clearing in physically settled futures for Alberta EPCs and Offsets. EPCs and Offsets are compliance credits generated under the Alberta Technology Innovation and Emissions Reduction (“TIER”) Regulation. EPCs and Offsets can be retired for compliance purposes as an alternative to large emitters making payment into Alberta’s Technology Innovation and Emissions Reduction Fund in respect of their CO2e emissions. The Fund’s contribution price was set at $50/tonne in 2022, increasing $15/year until reaching $170/tonne in 2030.
ICE NGX is offering futures products for Alberta EPCs Offsets, with monthly contract expiries for physical delivery in the subsequent calendar month.
Trading products will be available for all current vintages with usable life and some forward vintages. All protocols, excluding the Protocol for Conservation Cropping, as defined in the exchange rules, will be acceptable for delivery under Offset Products.
Customers that have signed up with ICE NGX have access to detailed reporting of their trades, certificate history of credits, detailed invoicing providing notional value of credits delivered that month as well as transaction fees for trading in environmental products in previous months, and environmental indices.
ICE NGX will be publishing vintage-specific indices for each of Alberta EPCs and Offsets Futures, including a Monthly Spot Index and Annual Vintage Index.
The Monthly Spot Index will be a volume weighted average comprised of all on-screen transactions in the relevant product and vintage, completed on ICE NGX’s platform for the spot month.
The Annual Vintage Index will be a volume weighted average comprised of all on-screen transactions in the relevant product and vintage, completed on ICE NGX’s platform from June 1st of a given year to May 31st of the following year.
New Customer Sign-Up
In order to trade and clear ICE NGX’s environmental products, market participants are required to sign up as a Contracting Party of ICE NGX. Participants will also require access to WebICE and ICE NGX Reports, and have active accounts at the relevant Alberta Carbon Registry for EPCs or Offsets.
Thank you for your interest in clearing with ICE NGX. Below you will find a summary of requirements and action items to provide which will allow you to transact with ICE NGX. Should you have any questions throughout the sign up process, please contact your ICE NGX Marketing or Clearing Representative.
In order to become a Contracting Party with ICE NGX, please read the ICE NGX Signup guide.
Entity must satisfy and confirm the following requirements:
A net worth exceeding CAD $5,000,000 or Total tangible assets exceeding CAD $25,000,000
The most recent audited or unaudited year-end financial statements of the trading entity must be submitted to ICE NGX in order to be received by the Membership Committee. The financial statements can be submitted as an attachment with the ICE NGX Sign-Up from or by email to [email protected].
If financial statements are not available for the trading entity, financial statements from a parent company will suffice as long as the trading entity is majority owned by the parent company. To confirm ownership, ICE NGX will require an organizational chart or a letter from a Corporate Secretary clearly showing this relationship.
The Application Form is a Standardized Questionnaire that Requests a Variety of Information About a Company, Its Affiliates (If Applicable), and Certain of Its Representatives
Each applicant must submit to ICE NGX a completed Application form.
Once the form is completed it can be submitted to ICE NGX by attaching the form to the ICE NGX Sign-Up Form or through email to [email protected].
The questions on the Application form include but are not limited to:
The Application Form and related information will be considered confidential by ICE NGX.
ICE NGX Utilizes a Standardized Legal Agreement with all the Participating Firms that Transact Through the Exchange
The ICE NGX Contracting Party’s Agreement (“CPA”), outlines the terms and conditions for conducting business with ICE NGX.
Both the trading and the clearing components of ICE NGX are governed by the provisions of the CPA. The agreement has been executed by companies that comprise a cross-section of the North American energy industry, including producers, electricity generators, storage facility operators, industrial consumers, utilities, pipelines, aggregators, marketing firms, hedge funds and financial institutions.
The Contracting Party Administration Form (“CPAF”) is to be completed in full by the designated Administrator as indicated on the CPA execution pages.
ICE NGX Contracting Party Admin Form
Once the form is completed it can be submitted to ICE NGX by attaching the form to the ICE NGX Sign-Up Form or through email to [email protected].
The Contracting Party Administration Form provides ICE NGX with various contact information, pipeline information for desired trading locations, as well as other required information.
The Contracting Party Administration Form and related information will be considered confidential by ICE NGX.
All Products that are Cleared by ICE NGX are Traded On the ICE Platform
All Contracting Parties must also execute the ICE Participants Agreement (“PA”) prior to being enabled to clear with ICE NGX.
A copy of the PA and execution pages can be obtained from the ICE help desk:
Email: [email protected]
Phone: 770-738-2101
Natural Gas Exchange (“ICE NGX”) and the Intercontinental Exchange, Inc. (“ICE”) have formed a transformative technology and clearing alliance to bring together the respective strengths of ICE NGX, Canada’s leading energy exchange and North America’s leading physical clearing and settlement facility, and ICE, the world’s leading electronic energy marketplace and soft commodities exchange.
This relationship allows the cleared and bilateral markets operated by ICE NGX to be offered on ICE’s electronic commodities trading platform.
ICE NGX’s Risk Management Policy Requires that Each Contracting Party Post Sufficient Collateral to Cover Its Margin Requirement
To begin clearing with ICE NGX, collateral deposits may take the form of:
A letter of Credit (“LC”)
or/and
Cash
Previous month account payable by ICE NGX to the Contracting Party
A current month account payable by ICE NGX to the Contracting Party.
A positive variation margin amount (i.e. in the money position)
Margin requirement are calculated pursuant to the terms of the CPA. Please contact [email protected] to determine an appropriate amount of collateral to deposit with ICE NGX.
It is important to note that collateral is held to support a specific Contracting Party’s traded positions and can only be used to remedy a performance failure by the Contracting Party itself.
All Products That Are Cleared By ICE NGX Are Traded On The ICE Platform
Once the Contracting Party has executed the PA, the Contracting Party would require an ICE clearing account to be set up.
Please follow the steps outlined to set up the ICE Clearing Account:
(Must be completed by Super User or Risk Manager access on ICE)
Log into ICE with user ID and request a Clearing Account from Natural Gas Exchange
(Must be completed by Super User or Risk Manager access on ICE)
Associate traders to Clearing Account from ICE NGX called “ALL NGX”.
(Must be completed by each trader)
Traders can now associate their portfolios with ICE NGX.
The ICE Clearing Account Setup outlines the process to request and set up a clearing account with ICE NGX, through ICE, which is required to clear with ICE NGX.
If you have any issues or questions with respect to setting up your ICE account please contact ICE directly at 770-738-2101 or by email at [email protected].