European Climate Exchange
Encyclopedia
The European Climate Exchange (ECX) manages the product development and marketing for ECX Carbon Financial Instruments (ECX CFIs), listed and admitted for trading on the ICE Futures Europe electronic platform
. It is no longer a subsidiary of the Chicago Climate Exchange
but rather a sister company. Both companies are owned by Climate Exchange Plc a holding company
listed on the London Stock Exchange
's AIM
market.
ECX / ICE Futures is the most liquid, pan-European platform for carbon emissions trading, with its futures contract
based on the underlying EU Allowances (EUAs) and Certified Emissions Allowances (CERs) attracting over 80% of the exchange-traded volume in the European market. ECX contracts (EUA and CER Futures, options and spot contracts) are standardised exchange-traded products and all trades are cleared by ICE Clear Europe (LCH.Clearnet
was the designated clearing house prior to November 2008).
More than 100 leading businesses, including global companies such as Barclays, BP
, Newedge
, E.ON UK, Endesa, Fortis, Goldman Sachs
, Morgan Stanley
and Shell have signed up for membership to trade ECX products. In addition, several hundred clients can access the market daily via banks and brokers in a process called 'order-routing' without having to be a member themselves.
ECX is a member of the Climate Exchange Plc group of companies. Other member companies include the Chicago Climate Exchange (“CCX”) and IFEX. Climate Exchange Plc is listed on AIM on the London Stock Exchange, and was bought in April 2010 by IntercontinentalExchange
(ICE).
The current Chief Executive is Patrick Birley, son of archaeologist Robin Birley
.
protesters set up a campsite and farmers' market outside the European Climate Exchange in Bishopsgate, City of London, to protest against carbon trading
as a "false solution" to the problem of climate change
.
On 23 July 2010, European Climate Exchange's website
was targeted by hacktivists operating under the name of decocidio #ϴ
. The website showed a spoof
homepage
for around 22 hours in an effort to promote the contention that carbon trading
is a false solution to the climate crisis
.
Commodities exchange
A commodities exchange is an exchange where various commodities and derivatives products are traded. Most commodity markets across the world trade in agricultural products and other raw materials and contracts based on them...
. It is no longer a subsidiary of the Chicago Climate Exchange
Chicago Climate Exchange
The now defunct Chicago Climate Exchange was North America’s only voluntary, legally binding greenhouse gas reduction and trading system for emission sources and offset projects in North America and Brazil....
but rather a sister company. Both companies are owned by Climate Exchange Plc a holding company
Holding company
A holding company is a company or firm that owns other companies' outstanding stock. It usually refers to a company which does not produce goods or services itself; rather, its purpose is to own shares of other companies. Holding companies allow the reduction of risk for the owners and can allow...
listed on the London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
's AIM
Alternative Investment Market
AIM is a sub-market of the London Stock Exchange, allowing smaller companies to float shares with a more flexible regulatory system than is applicable to the main market....
market.
ECX / ICE Futures is the most liquid, pan-European platform for carbon emissions trading, with its futures contract
Futures contract
In finance, a futures contract is a standardized contract between two parties to exchange a specified asset of standardized quantity and quality for a price agreed today with delivery occurring at a specified future date, the delivery date. The contracts are traded on a futures exchange...
based on the underlying EU Allowances (EUAs) and Certified Emissions Allowances (CERs) attracting over 80% of the exchange-traded volume in the European market. ECX contracts (EUA and CER Futures, options and spot contracts) are standardised exchange-traded products and all trades are cleared by ICE Clear Europe (LCH.Clearnet
LCH.Clearnet
LCH.Clearnet is an independent clearing house based in Europe that serves major international exchanges and platforms, as well as a range of OTC markets...
was the designated clearing house prior to November 2008).
More than 100 leading businesses, including global companies such as Barclays, BP
BP
BP p.l.c. is a global oil and gas company headquartered in London, United Kingdom. It is the third-largest energy company and fourth-largest company in the world measured by revenues and one of the six oil and gas "supermajors"...
, Newedge
Newedge
Newedge Group is a diversified financial services group formed from the merger of Fimat and Calyon Financial, the brokerage arms of French financial giants Société Générale and Credit Agricole's capital markets business. It offers execution, clearing, prime brokerage investment, and asset financing...
, E.ON UK, Endesa, Fortis, Goldman Sachs
Goldman Sachs
The Goldman Sachs Group, Inc. is an American multinational bulge bracket investment banking and securities firm that engages in global investment banking, securities, investment management, and other financial services primarily with institutional clients...
, Morgan Stanley
Morgan Stanley
Morgan Stanley is a global financial services firm headquartered in New York City serving a diversified group of corporations, governments, financial institutions, and individuals. Morgan Stanley also operates in 36 countries around the world, with over 600 offices and a workforce of over 60,000....
and Shell have signed up for membership to trade ECX products. In addition, several hundred clients can access the market daily via banks and brokers in a process called 'order-routing' without having to be a member themselves.
ECX is a member of the Climate Exchange Plc group of companies. Other member companies include the Chicago Climate Exchange (“CCX”) and IFEX. Climate Exchange Plc is listed on AIM on the London Stock Exchange, and was bought in April 2010 by IntercontinentalExchange
IntercontinentalExchange
IntercontinentalExchange, Inc., known as ICE, is an American financial company that operates Internet-based marketplaces which trade futures and over-the-counter energy and commodity contracts as well as derivative financial products...
(ICE).
The current Chief Executive is Patrick Birley, son of archaeologist Robin Birley
Robin Birley (archaeologist)
Robin Edgar Birley was formerly the Director of Excavations at the Roman site of Vindolanda, and now heads the Vindolanda research committee. The son of Eric Birley , he worked as a Royal Marine and then a teacher before giving this up to run the Vindolanda Trust and excavate the site...
.
Protests
On 1 April 2009, Camp for Climate ActionCamp for Climate Action
The Camps for Climate Action are campaign gatherings that take place to draw attention to, and act as a base for direct action against, major carbon emitters, as well as to develop ways to create a zero-carbon society...
protesters set up a campsite and farmers' market outside the European Climate Exchange in Bishopsgate, City of London, to protest against carbon trading
Carbon trading
Carbon trading may refer to:*Carbon emission trading*Personal carbon trading*Emissions trading...
as a "false solution" to the problem of climate change
Climate change
Climate change is a significant and lasting change in the statistical distribution of weather patterns over periods ranging from decades to millions of years. It may be a change in average weather conditions or the distribution of events around that average...
.
On 23 July 2010, European Climate Exchange's website
Website
A website, also written as Web site, web site, or simply site, is a collection of related web pages containing images, videos or other digital assets. A website is hosted on at least one web server, accessible via a network such as the Internet or a private local area network through an Internet...
was targeted by hacktivists operating under the name of decocidio #ϴ
Decocidio
Decocidio #ϴis an anonymous, autonomous collective of hacktivists which is part of Earth First!, a radical environmental protest organisation, and adheres to Climate Justice Action. In their hacks the group shows affiliation with the autonomous Hackbloc collective.The logo of the collective is an...
. The website showed a spoof
Parody
A parody , in current usage, is an imitative work created to mock, comment on, or trivialise an original work, its subject, author, style, or some other target, by means of humorous, satiric or ironic imitation...
homepage
Homepage
A home page or homepage has various related meanings to do with web sites:* It most often refers to the initial or main web page of a web site, sometimes called the front page ....
for around 22 hours in an effort to promote the contention that carbon trading
Carbon trading
Carbon trading may refer to:*Carbon emission trading*Personal carbon trading*Emissions trading...
is a false solution to the climate crisis
Global warming
Global warming refers to the rising average temperature of Earth's atmosphere and oceans and its projected continuation. In the last 100 years, Earth's average surface temperature increased by about with about two thirds of the increase occurring over just the last three decades...
.
See also
- Carbon creditCarbon creditA carbon credit is a generic term for any tradable certificate or permit representing the right to emit one tonne of carbon dioxide or the mass of another greenhouse gas with a carbon dioxide equivalent equivalent to one tonne of carbon dioxide....
- Chicago Climate ExchangeChicago Climate ExchangeThe now defunct Chicago Climate Exchange was North America’s only voluntary, legally binding greenhouse gas reduction and trading system for emission sources and offset projects in North America and Brazil....
- Emissions tradingEmissions tradingEmissions trading is a market-based approach used to control pollution by providing economic incentives for achieving reductions in the emissions of pollutants....
- Kyoto ProtocolKyoto ProtocolThe Kyoto Protocol is a protocol to the United Nations Framework Convention on Climate Change , aimed at fighting global warming...
- List of futures exchanges
- Mobile Emission Reduction Credit (MERC)Mobile Emission Reduction Credit (MERC)A mobile emission reduction credit is an emission reduction credit generated within the transportation sector. The term “mobile sources” refers to motor vehicles, engines, and equipment that move, or can be moved, from place to place...