Energy Broking Ireland
Energy Broking Ireland (EBI) offers a local broking service to wholesale buyers and sellers of gas at the Irish Balancing Point (IBP), using an electronic trading platform with the option of voice broking. EBI is today owned by Marex Spectron, the global commodities broker.
The service was launched in October 2017 and to date (September 2018) over 1,000 transactions have been executed on the platform. On a given day, anywhere from 5% to 20% of Ireland's gas demand is traded through the platform.
Upon completion of a competitive tendering process, Gas Networks Ireland (GNI) awarded a contract to EBI to operate a trading platform to facilitate compliance with the EU Balancing Network Code. Since June 2018, GNI has used the EBI trading platform to perform 'Balancing Buy' and 'Balancing Sell' actions to manage pressure in the national transmission system.
Almost all the largest buyers and sellers of gas in Ireland trade on the EBI platform. These companies can buy and sell wholesale gas on the platform and can also use it to easily source gas from local gas production. Whilst there are long term gas sales contracts in Ireland, the trading platform enables buyers and sellers to cost effectively trade with each other at the IBP, balancing every day, on a real-time basis, their gas demand and gas supplies.
By posting volumes and prices on the trading platform, gas buyers and sellers in Ireland can more efficiently manage their gas portfolios. In line with the experience in other markets, the resultant development of a wholesale price for natural gas at the IBP should ultimately benefit Irish consumers.
Currently, the main products traded on the platform are Within-Day and Day-Ahead gas.
Energy Broking Ireland (EBI) was formed to provide a service to Irish gas market participants who are looking to respond to the rapidly changing market conditions. The market changes are driven by increasing volatility in gas demand due to growing wind generation, gas production from the Corrib field and European legislative requirements.
Over the last 15 years, the formation of the gas price in Ireland has been relatively stable and set as a function of the UK NBP price plus transportation costs to Ireland. The commencement of local production from the Corrib gas field, the move towards shorter term entry capacity bookings and the growing penetration of wind generation creates the need for buyers and sellers of gas to access a local wholesale market price for natural gas. This in turn is creating value for both buyers and sellers of gas.
The directors of EBI are Dermot O’Kane and Martin Regan who have spent their careers in the oil and gas and electricity industries, both in Ireland and overseas.