Pre-trading agreements

The biomethane and transport sector quota certificates trading platform (hereinafter “trading platform”) offers market participants the possibility to transfer transport sector quota certificates based on a bilateral pre-trading agreement. To do so, the pre-trading agreement and the transaction terms between the seller and the buyer are registered on the trading platform.

The seller in pre-trading agreement is the party releasing liquid biofuel, biomethane, hydrogen or renewable electricity for consumption in transport, and the buyer is a fuel seller or a person holding a fuel import licence with the obligations referred to in § 21 (1) and (9) of the Liquid Fuel Act (VKS). Before issuing transport sector quota certificates, the seller undertakes the obligation to transfer the liquid biofuel, biomethane, or renewable electricity transport sector quota certificates issued to them.

When registering a pre-trading agreement, it is possible to choose whether the agreement is to be concluded for an agreed quantity (quantitative) or for all transport statistics generated (all statistics). If the “all statistics” type is chosen when concluding the agreement, the seller cannot conclude more pre-trading agreements on the trading platform for the current calendar year. To conclude more than one pre-trading agreement, the “quantitative” type should be selected during registration.

At registration, the seller must also provide the sales price of the transport sector quota certificates, calculated as the price per unit in euros per gigajoule (€/GJ) with three decimal places. The seller submits the price of the transport sector quota certificates when registering the pre-trading agreement, and the price is confirmed by the buyer upon confirmation of the pre-trading agreement registration.

Additionally, when registering and confirming a pre-trading agreement, it is important that both parties are certain of the agreed quantities of quota certificates, because once the pre-trading agreement is confirmed, the quantities can no longer be changed.

A pre-trading agreement can be executed if it is registered on the trading platform and confirmed by the buyer by the end of the calendar month of renewable energy release for consumption:

1. A pre-trading agreement for the transfer of biofuel quota certificates released for consumption during the calendar month via pre-trading can be concluded until the end of the calendar month in which the biofuel is released for consumption. Example: if the pre-trading agreement is confirmed on the trading platform by the buyer in May, the agreement can be executed once the seller has transferred the biofuel quota sertificates for June consumption from the fuel handling database account to the trading platform account via the electronic channel.

2. A pre-trading agreement for the transfer of biomethane or electricity quota certificates released for final consumption during the calendar month via pre-trading can be concluded until the end of the calendar month in which the biomethane or electricity is released for final consumption. Example: if the pre-trading agreement is confirmed on the trading platform by the buyer in May, the agreement can be executed using quota certificates issued for final consumption from May to December.

If a party wishes to withdraw from a pre-trading agreement, this can be done either unilaterally or bilaterally. In the case of a unilateral withdrawal, confirmation by the counterparty is not required, and the withdrawal takes effect immediately. In the case of a bilateral withdrawal, the initiator selects the effective date, provides a written reason, and the counterparty must confirm it no later than one day before the effective date.

Detailed instructions for registering, confirming, executing, and withdrawing a pre-trading agreement are included in the guide “Guide to trading transport statistics via prior agreements on the trading platform.”

Manuals