PRISMA introduces Mid-Term Tenders through AggregateEU
PRISMA introduces Mid-Term Tenders through AggregateEU in which buyers will be able to submit their demand for seasonal six-month periods. The first Tender is scheduled to begin on February 15, 2024.
Leipzig, January 19, 2024 - PRISMA European Capacity Platform GmbH is glad to announce that AggregateEU will not only remain active in 2024 but will also expand its services.
Up until now, gas buyers and sellers could participate in short-term tenders and submit their monthly demand until March 2025.
To address the growing demand for stability and predictability among participants, PRISMA, on behalf of the European Commission, has broadened its product portfolio by introducing Mid-Term Tenders. In these tenders, buyers will be able to submit their demand for seasonal six-month periods, going from April 2024 to October 2029. The first Mid-Term Tender on AggregateEU is scheduled to begin on February 15, 2024.
Maroš Šefčovič, Executive Vice President of the European Commission said: “This follows a request from some market actors, namely industrial consumers, for a new product that would better match their procurement strategies and needs in terms of stability and predictability for contracting gas supplies. In addition to buyers, the mid-term product will provide further predictability to suppliers, especially of LNG, that may enable further LNG supplies through AggregateEU”.
In that spirit, Mid-Term Tenders are intended to:
support industrial consumers in exploring additional trading options under a pseudonym, i.e. attract buyers purely based on the demand profile;
support sellers in identifying buyers who might be interested in a longer trading partnership – that is, up to 5 years.
About Mid-Term Tenders via AggregateEU
Mid-Term Tenders offer participants the opportunity to submit demands for six-month periods: namely, Summer and Winter. The Summer Period goes from April 1st to September 30th of each year, while the Winter Period goes from October 1st to March 31st of the following year. The earliest possible delivery runtime is anticipated to be Summer 2024. The last delivery runtime will be Summer 2029.
Buyers can submit their demand for up to five years, or ten consecutive six-month periods. Each demand must meet the minimum stipulated quantity for the relevant product, whether LNG (1,800,000 MWh) or NBP (30,000 MWh).
Demands at a specific location for a particular period will not be aggregated. Instead, each demand will be published as a separate tender, allowing sellers to express their interest to sell to individual buyers the total amount expressed as demand. To ensure fairness, buyers will be displayed to sellers under a pseudonym.
To participate in Mid-Term Tenders, buyers and sellers must already have a PRISMA account and a subscription to AggregateEU. Instructions on how to register and subscribe can be found here.
A Webinar on Mid-Term Tenders
To ensure a smooth experience for participants, PRISMA will host a webinar on Mid-Term Tenders on 30.01.2024 from 10:00 to 11:30 CET. Interested market stakeholders can register here.
You can already find instructions about this new tender type at our AggregateEU Hub.
PRISMA is the leading platform for gas movement around Europe. The company runs and manages its own cloud-based software, seamlessly connecting around 20 markets by granting digital access into the European energy infrastructure to more than 3.000 players. PRISMA’s main goal is to be a driving force in establishing a fair, transparent, and integrated market that truly benefits the economy and the society.
About the EU Energy Platform
The EU Energy Platform was established in April 2022 to secure the EU's energy supply at affordable prices and to reduce its dependence on Russian gas. The Platform has played a significant role in EU’s diversification efforts since 2022 by facilitating the signing of Memoranda of Understanding with key gas exporting partner countries and enhancing international outreach to support the REPowerEU Plan. It also focuses on organising demand aggregation and joint purchasing of gas.