Regional Gas Exchange GET Baltic, operating in Lithuanian, Latvian and Estonian market areas is prepared to expand geographical coverage to other Northern Europe countries by launching new market area in Finland, and contributing to deeper integration of the Finnish and Baltic gas markets from 1st January 2020.
By expanding to Finland, GET Baltic will take another step in establishing a one-stop-shop for natural gas trading in the region. Further wholesale market integration on the Regional Gas Exchange will improve Finnish gas market health and enhance the cross-border trading opportunities for the gas market players, adding up to liquidity, competition and transparency.
GET Baltic is going to offer access to spot and forward contracts for the Finnish gas market participants, as well as application of implicit capacity allocation model, also known as integrated trading model, which will contribute to the price convergence in the region and will make easier cross-border trading between the Finnish and Baltic gas markets. Registration process for the Finnish market area will be launched in September 2019.
”The best way for the Finnish-Baltic gas market to achieve effectiveness and value for gas consumers is by integrating their natural gas markets and creating regional trading opportunities. Regional trading platform further geographical development will create favorable conditions for new gas market players to enter the open Finnish gas market. This will result in higher gas market liquidity, more transparency and reliable price index for the Finnish gas market” –
– says GET Baltic Chief Business Development Officer, Gintaras Buzkys.
According to him, with this step GET Baltic is seeking to achieve one of its strategic goals – by creating innovative solutions to promote the development of the regional wholesale natural gas market.
GET Baltic was established in 2012 in Lithuania, company is a part of energy transmission and exchange group of companies – EPSO-G. Effective organization is run by experts in energy trading, commodity markets, IT projects management, EU regulation, international business development, risk management and other relevant business fields. To run the trading platform company is using services of Finnish contractor Hansen Technologies Finland Oy, which is one of the leading IT software solutions developer for energy utilities in Scandinavia.
Using experience through the years of operation and willingness to contribute to the common development of the Baltic Natural Gas Market, in 2017 GET Baltic established Latvian and Estonian market areas and became regional Baltic Gas Exchange. Moreover, the Company took other important step – started providing innovative short-term cross-border implicit capacity allocation service for the TSOs, which integrated trading between the Baltic States.
The number of participants of Regional Gas Exchange and transactions concluded on different market areas are constantly growing. All leading energy supply and trading companies from the Baltic States, as well as international commodity traders are active on the Exchange, which together with market makers ensures sufficient liquidity and continuous trading in all the market areas of the Baltic Gas Exchange.