Vattenfall Trading Services, a central trading platform for the Vattenfall Group, has started trading over-the-counter and exchange wholesale power in the UK. The company has said that initially it will focus on the short-term market but is planning to expand trading activities up to four seasons ahead.
According to the company, since 2008, it is in the UK gas market by trading the NBP gas hub. Vattenfall is trading the UK market from its Hamburg office.
Kai Seela, head of power and emissions division at Vattenfall Trading Services, said: This move will take us to a market where temporarily fundamental market trends based on gas, fuel switching or emission caps evolve first, before swapping to the continent via spread trading.
Being an active player on the UK wholesale trading market will definitely help us to grow and further leverage our continental portfolios and presence. This could also include originating a number of off-standard transactions.
Vattenfall claims to be Europe’s fifth largest generator of electricity and generator of heat. The company currently has operations in Denmark, Finland, Germany, United Kingdom, Poland and Sweden. Vattenfall is engaged in the electricity value chain – generation, transmission, distribution and sales. It also generates, distributes and sells heat, and conducts energy trading and lignite mining. The parent company, Vattenfall AB, is wholly owned by the Swedish state.
