Click here to learn how to access the market and trade this product.
| Unit of Trading |
One lot of 1000 certified emission reduction units (CER) (i.e. units issued pursuant to Article 12 of the Kyoto Protocol and the decisions adopted pursuant to the UNFCCC to the Kyoto Protocol with the exception of allowances notified from time to time by the Exchange (“Ineligible Allowances”). At launch, Ineligible Allowances include those generated by hydroelectric projects with a generating capacity exceeding 20MW, LULUCF activities and nuclear facilities). Each CER being an entitlement to emit one tonne of carbon dioxide equivalent gas. |
| Minimum trading size |
1 lot. |
| Quotation |
Euro (€) and Euro cent (c) per metric tonne. |
| Tick size |
€0.01 per tonne (i.e. €10.00 per lot). |
| Minimum/maximum price fluctuation |
€0.01/no limit. |
| Contract Dates |
The Contract is a Daily Contract. Only one Daily Contract is listed at any one time. |
| Delivery obligations |
The Exchange will, from time to time, issue a list of Registries from which the Clearing House will accept and will deliver CERs. |
| Trading system |
Trading will occur on the ICE Futures Europe electronic trading platform known as the ICE Platform accessible via WebICE or through a conformed Independent Software Vendor. |
| Block Trades, EFPs, EFSs |
Block Trades are available for this contract, with a minimum size of 50 lots. EFPs/EFSs will also be available. |
| Trading hours |
07:00 hours to 17:00 hours UK Local Time. |
| Settlement prices |
Trade weighted average during the daily closing period (16:50:00 – 16:59:59 hours UK Local Time) with Quoted Settlement Prices if low liquidity. The settlement price will become the Exchange Delivery Settlement Price (EDSP). |
| VAT and taxes |
The UK's HM Revenue and Customs have confirmed that the trading of the ICE ECX EUA and CER Daily Futures contracts on the Exchange between the Clearing Member and ICE Clear Europe is zero-rated for VAT purposes under the terms of the Terminal Markets Order.
Clearing Members are advised to seek their own advice in relation to the VAT treatment on the transfer of allowances between themselves and their client or for allowances used for their own purposes. Normal VAT rules apply between Clearing Members and their customers on delivery according to the rules of the country in which delivery occurs. |
| Delivery |
The Contracts are physically deliverable by the transfer of CERs from the Person Holding Account of the Selling Clearing Member at a Registry to the Person Holding Account of ICE Clear Europe at a Registry and from the Person Holding Account of ICE Clear Europe at that Registry to the Person Holding Account of the Buying Clearing Member at a Registry. Initially ICE Clear Europe will use a Person Holding Account at the UK Registry.
Delivery is between Clearing Members and ICE Clear Europe during a Delivery Period. The Delivery Period is the period beginning at 18:30 hours on the Contract Date and ending at 19:00 hours on the second Business Day following the relevant Contract Date. There is provision for ‘Late’ and ‘Failed’ delivery within the Contract Rules. |
| Clearing and contract security |
ICE Clear Europe will act as central counterparty to all trades and guarantees the financial performance of the ICE Futures Europe contracts registered in the name of its Members. |
| Margin & Payment |
ICE Clear Europe will charge Buyer/Seller Security in the following manner:
- the Buyer will pay full contract value by 09:00 on the first Business Day following the relevant trade date. Full contract value will represent the EDSP multiplied by the number of lots held. A separate Variation Margin payment/call will be made by 09:00 on the first Business Day following the relevant trade date in order to reflect the profit/loss between the EDSP and the trade price; and
- the Seller will pay Seller Security by 09:00 on the first Business Day following the relevant trade date. Seller Security will represent a percentage of the EDSP multiplied by the number of lots held (paid in order to protect ICE Clear Europe against non-delivery and/or Clearing Member default) On the second Business Day following trade date, a Seller that has fulfilled its obligations under the contract will receive full contract value together with the relevant Seller Security. A separate Variation Margin payment/call will be made by 09:00 on the first Business Day following the relevant trade date in order to reflect the profit/loss between the EDSP and the trade price. |
Click here to download CER Daily Futures contract specs
Click here to know what types of CER units are eligible for delivery.
PRODUCTS & SERVICES 
