Nord Pool AS is a pan-European

power Power most often refers to: * Power (physics), meaning "rate of doing work" ** Engine power, the power put out by an engine ** Electric power * Power (social and political), the ability to influence people or events ** Abusive power Power may a ...

exchange Exchange may refer to: Physics *Gas exchange is the movement of oxygen and carbon dioxide molecules from a region of higher concentration to a region of lower concentration. Places United States * Exchange, Indiana, an unincorporated community * ...

. Nord Pool has a main office in

Oslo Oslo ( , , or ; sma, Oslove) is the capital and most populous city of Norway. It constitutes both a county and a municipality. The municipality of Oslo had a population of in 2022, while the city's greater urban area had a population of ...

and further offices in

Stockholm Stockholm () is the Capital city, capital and List of urban areas in Sweden by population, largest city of Sweden as well as the List of urban areas in the Nordic countries, largest urban area in Scandinavia. Approximately 980,000 people liv ...

Helsinki Helsinki ( or ; ; sv, Helsingfors, ) is the Capital city, capital, primate city, primate, and List of cities and towns in Finland, most populous city of Finland. Located on the shore of the Gulf of Finland, it is the seat of the region of U ...

Tallinn Tallinn () is the most populous and capital city of Estonia. Situated on a bay in north Estonia, on the shore of the Gulf of Finland of the Baltic Sea, Tallinn has a population of 437,811 (as of 2022) and administratively lies in the Harju ' ...

Berlin Berlin ( , ) is the capital and largest city of Germany by both area and population. Its 3.7 million inhabitants make it the European Union's most populous city, according to population within city limits. One of Germany's sixteen constitue ...

and

London London is the capital and largest city of England and the United Kingdom, with a population of just under 9 million. It stands on the River Thames in south-east England at the head of a estuary down to the North Sea, and has been a majo ...

. The company is owned by the European exchange operator

Euronext Euronext N.V. (short for European New Exchange Technology) is a pan-European bourse that offers various trading and post-trade services. Traded assets include regulated equities, exchange-traded funds (ETF), warrants and certificates, bonds, ...

as well as TSO Holding, which represents the continental Nordic and

Baltic Baltic may refer to: Peoples and languages * Baltic languages, a subfamily of Indo-European languages, including Lithuanian, Latvian and extinct Old Prussian *Balts (or Baltic peoples), ethnic groups speaking the Baltic languages and/or originati ...

countries'

transmission system operator File:Electricity grid simple- North America.svg, 380px, Simplified diagram of AC electricity grid from generation stations to consumers rect 2 243 235 438 Power station rect 276 317 412 556 Transformer rect 412 121 781 400 Electric power transmis ...

s (TSOs:

Fingrid Fingrid Oyj is a Finnish national electricity transmission grid operator. It is owned by the Finnish state (53.1 %) and various financial and insurance institutions (46.9 %). In 2011, power companies Fortum Fortum Oyj is a Finnish state-ow ...

Energinet Energinet is the Danish national transmission system operator for electricity and natural gas. It is an independent public enterprise owned by the Danish state under the Ministry of Climate and Energy. Energinet has some 1150 employees, an ...

Statnett Statnett is a Norwegian state owned enterprise responsible for owning, operating and constructing the stem power grid in Norway. The company has its headquarters in Oslo, Norway. Statnett also owns 30% of the Nord Pool Spot along with other Nor ...

, Svenska Kraftnät, and

Litgrid Litgrid AB is a Lithuanian electricity transmission system operator that operates Lithuania's electricity transmission grid. Litgrid is responsible for the integration of the Lithuanian electricity system into the European electricity infrastruct ...

). Nord Pool has two subsidiaries, Nord Pool AB and Nord Pool Finland Oy.

History

1932-1991: Norwegian origins

Nord Pool traces its origin to ' (lit. the ''Coordination Association''), a power exchange formed by eastern Norwegian electricity companies in 1932 on the initiative of

Augustin Paus Augustin Thoresen Paus (22 July 1881, in Christiania – 20 September 1945) was a Norwegian engineer and industrial leader in the hydropower industry. From 1918 he led the construction of the hydroelectric power plant at Rånåsfoss, one of the ...

, and which soon encompassed all the electricity companies in eastern Norway. In 1971 the exchange merged with the regional exchanges in other parts of Norway, and became ' (literally the ''Coordination of Power Stations in Norway''), with 118 power companies as members as of 1988.

1991-2000: Nordic deregulation and integration

In 1991 the

Norwegian parliament The Storting ( no, Stortinget ) (lit. the Great Thing) is the supreme legislature of Norway, established in 1814 by the Constitution of Norway. It is located in Oslo. The unicameral parliament has 169 members and is elected every four years bas ...

decided to deregulate the market for power trading. In 1993 Statnett Marked AS was established as an independent company. Nord Pool (historisch) logo

In 1996, the Swedish electricity market was also deregulated. Statnett Marked AS was subsequently replaced by Nord Pool ASA, owned in equal parts by the Swedish and Norwegian

s (TSOs), Svenska Kraftnät and

. This contributed to the unification of the two countries' electricity markets.

Finland Finland ( fi, Suomi ; sv, Finland ), officially the Republic of Finland (; ), is a Nordic country in Northern Europe. It shares land borders with Sweden to the northwest, Norway to the north, and Russia to the east, with the Gulf of B ...

as well as western and eastern Denmark joined Nord Pool ASA in 1998, 1999 and 2000, respectively.

2000-present: Expansion in Europe

In 2000, Nord Pool ASA participated in establishing the

Leipzig Leipzig ( , ; Upper Saxon: ) is the most populous city in the German state of Saxony. Leipzig's population of 605,407 inhabitants (1.1 million in the larger urban zone) as of 2021 places the city as Germany's eighth most populous, as wel ...

Power Exchange (now part of the

European Energy Exchange European Energy Exchange (EEX) AG is a central European electric power and related commodities exchange located in Leipzig, Germany. It develops, operates and connects secure, liquid and transparent markets for energy and related products, inc ...

). Nord Pool also supplied its technology to

France France (), officially the French Republic ( ), is a country primarily located in Western Europe. It also comprises of Overseas France, overseas regions and territories in the Americas and the Atlantic Ocean, Atlantic, Pacific Ocean, Pac ...

Powernext Powernext SA, incorporated in 2001, is a regulated market operating under AMF supervision. Based in Paris, Powernext manages the natural gas activities of the EEX Group under the PEGAS brand throughout Europe, and operates the National Registry f ...

exchange. On 27 December 2001, Nord Pool ASA's

spot market The spot market or cash market is a public financial market in which financial instruments or commodities are traded for immediate delivery. It contrasts with a futures market, in which delivery is due at a later date. In a spot market, settle ...

(derivatives and physical energy markets) activities were spun off into a new company, Nord Pool Spot AS. The remaining parts of Nord Pool ASA were later acquired by

Nasdaq The Nasdaq Stock Market () (National Association of Securities Dealers Automated Quotations Stock Market) is an American stock exchange based in New York City. It is the most active stock trading venue in the US by volume, and ranked second ...

, and are presently known as Nasdaq Commodities. In 2005, Nord Pool Spot AS started trading and clearing of

European Union The European Union (EU) is a supranational political and economic union of member states that are located primarily in Europe. The union has a total area of and an estimated total population of about 447million. The EU has often been des ...

(EU) emission allowances, becoming the first exchange to expand its activities into this area. The company expanded its activities to

Germany Germany,, officially the Federal Republic of Germany, is a country in Central Europe. It is the second most populous country in Europe after Russia, and the most populous member state of the European Union. Germany is situated betwe ...

by opening the

KONTEK The Kontek HVDC is a long, monopolar 400 kV high-voltage direct current cable between Germany and the Danish island Zealand. Its name comes from "continent" and the name of the former Danish power transmission company "Elkraft", which o ...

bidding area. On 12 January 2010, Nord Pool Spot AS in cooperation with Nasdaq Commodities launched the N2EX power market in the

United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Europe, off the north-western coast of the continental mainland. It comprises England, Scotland, Wales and North ...

. On 2 February 2010, Nord Pool Spot signed an agreement with the Estonian national grid company

Elering Elering AS (former name: OÜ Põhivõrk) is a national transmission system operator for electricity and natural gas with headquarters in Tallinn, Estonia. The managing director of Elering is Taavi Veskimägi. History Elering was established on ...

to create the Nord Pool Spot

Estlink Estlink is a set of HVDC submarine power cables between Estonia and Finland. Estlink 1 is the first interconnection between the Baltic and Nordic electricity markets followed by Estlink 2 in 2014. The main purpose of the Estlink connection is to ...

bidding area starting from 1 April 2010. Nord Pool Spot also delivered the technical solution for the Lithuanian market place Baltpool. On 9 June 2010,

APX-ENDEX APX Group (APX) is an energy exchange operating the spot markets for electricity in the Netherlands, the United Kingdom, and Belgium. Established in 1999, APX provides exchange trading, central clearing and settlement, and data distribution se ...

, Belpex and Nord Pool Spot agreed to create a cross-border intraday electricity market based on Nord Pool Spot's Elbas technology. Today, the common intraday market includes the Nordic countries, the Baltic countries, Germany, the Netherlands, and Belgium. In 2012, Nord Pool Spot opened a bidding area in Lithuania, and in 2013 the Latvian market was opened. On 20 January 2016, Nord Pool Spot AS was rebranded to Nord Pool AS. On 27 August 2019 Nord Pool started trading in France, Germany, Luxembourg, Belgium, Austria and the Netherlands, the result of a European Union decision to allow several power exchanges to operate in the same markets, increasing competition. On 5 December 2019

announced that it would acquire 66% of Nord Pool. The acquisition was completed on 15 January 2020.

Notes

References

External links

Nord Pool AS website
{{Euronext topics Euronext markets Electric power exchanges in Europe Companies established in 2002 Companies based in Oslo Electricity markets Electric power in Norway Electric power in Denmark Electric power in Sweden Electric power in Finland Electric power in Estonia Electric power in Lithuania Energy in Europe 2002 establishments in Norway Nordic energy market

History

1932-1991: Norwegian origins

1991-2000: Nordic deregulation and integration

2000-present: Expansion in Europe

See also

Other pan-European exchanges

Related technology companies

Regulations and agencies

Notes

References

External links