(Montel) The Ice exchange is planning to accept carbon allowances as collateral in its futures market to relieve the pressure on utilities and traders hit by Europe’s energy price crisis, the Financial Times reported on Tuesday.
Ice Futures Europe was consulting with members to accept EUAs for firms wanting to hedge against or bet on the price of carbon falling, added the UK business daily, citing a circular from the exchange.
The move was set to give market participants more options and flexibility “as well as assisting the energy markets with the current liquidity pressures”, said the exchange.
Utilities have been struggling with collateral…
