Monetisation of EU Allowances

As part of the NER300 initiative, the EIB is acting as an agent for the European Commission (EC) to sell 300 million EU Allowances (EUAs). The Bank started to sell on 5 December 2011 and the first tranche of 200 million EUAs was completed by 28 September 2012.

EIB used various sales channels in a phased approach starting with over-the-counter (OTC) forwards, followed by direct screen trades on exchanges, OTC exchange-cleared transactions and auctions.

Exchange transactions were sold or auctioned via the two selected carbon exchanges: European Energy Exchange (EEX) and ICE Futures Europe (ICE).

EIB sought an even spread of volume of around 20 million EU allowances per month throughout the trading period with a single settlement date of December 2013.

Monthly reports are available since January 2012, highlighting overall sales volumes, sales channels and aggregated prices obtained. They are published two weeks from each month-end. The reports can be found at http://www.eib.org/products/ner-300/reports.htm.

Overview of NER300 monetisation process

The monetisation of the second tranche of 100 million EU allowances will be realised in consultation with the European Commission. Further details of timing and sales instruments will be communicated with a reasonable amount of notice before the beginning of the second tranche sales. .

View the answers to "Frequently Asked Questions" on the monetisation process.