ACX partners with trayport to facilitate seamless I-RECs settlement, accelerating trading efficiency and reducing counterparty risk

ACX Ltd (AirCarbon Exchange), a leading environmental markets exchange located in Abu Dhabi Global Market, announced a strategic collaboration with Trayport on International Renewable Energy Certificates (I-RECs) settlement. Since its launch, the collaborative efforts have facilitated the trading and settlement of over 21,000 MWh of International Renewable Energy Certificates (I-RECs), contributing to a total settled volume of over 450,000 MWh in the past six months.

The collaboration allows traders to settle via ACX, leveraging Trayport's technology to offer global reach, while benefitting from the regulated framework and robust risk mitigation from ACX. The platform ensures efficiency and cost-effectiveness while reducing counterparty risk for participants.

Andrew Cullen, Global Head of Business Development at ACX, commented, "Our collaboration with Trayport on I-RECs settlement is a testament to our commitment to driving innovation in the environmental commodities market. The results since launch highlight the demand for a secure and efficient platform that mitigates counterparty risk and provides global market access. We're thrilled to continue providing a reliable and cost-effective trading solution for our partners."

"IREC's and the broader Energy Attribute Certificates (EAC) markets are critical tools for allowing companies to meet corporate and global environmental standards. They allow renewable energy to be sourced, trace the origin of energy, credibly document consumption and demonstrate reductions in GHG. This can be a fragmented and opaque market to navigate, and we're delighted that ACX has chosen to use Trayport's renowned energy platform to bring visibility and choice to participants," said Peter Conroy, Chief Executive Officer at Trayport.  

Market participants have also recognised the value of the partnership:

Ruben Ortiz-Hernandez, Director and co-Founder at Ecompensate, said "Our trading experience via Trayport/ACX has been very positive. From a trader's perspective, it provides an excellent interface to monitor the market across a wide array of IRECs bids and offers. The trade execution process is seamless, significantly reducing both counterparty risk and administrative burdens."

As companies around the world strive to reduce their carbon emissions, I-RECs represent credible documentation of their use of energy from renewable sources, facilitating the achievement of their decarbonisation goals.

I-RECs also represent a valuable additional revenue stream for renewable energy producers who secure these certificates and trade them on the open market.

ACX's I-REC offering via Trayport reflects its commitment to enhancing the renewable energy market. This service enables traders to efficiently manage their portfolios. As the world transitions to cleaner energy sources, ACX continues to empower participants with innovative tools that facilitate impactful contributions toward sustainability goals.