ASX Ltd plans to list new renewable energy futures and options contracts on its exchanges to support the federal government's renewable energy target (RET) scheme.
The contracts will be based on Renewable Energy Certificates (REC) and list on November 24.
The stock and futures exchange operator said the new contracts will support the RET scheme, which is designed to ensure that 20 per cent of Australia's electricity comes from renewable sources by 2020.
The ASX also plans to list certified emission reduction (CER) futures and options contracts in the first quarter 2010.
These securities are designed to service the requirements of prospective compliance entities in Australia and New Zealand, as well as investors and developers involved in clean development projects.
Subject to the passage of the proposed carbon pollution reduction scheme legislation in Australia, ASX also intends to list futures and options on Australian Emission Units (AEU).
The introduction of the three types of contracts will enable market participants to manage market risk and make investment decisions about climate change and related government policies, ASX said on Wednesday.
"The listing of these products will help firms in Australia and New Zealand to facilitate carbon trading, finance and investment, as well as to provide related risk and legal advisory services," it said in a statement.
"Given the penetration and liquidity of ASX's existing electricity futures markets in Australia and New Zealand, organisations accounting for over 50 per cent of greenhouse gas emissions in both countries are already users of ASX market infrastructure."
The new range of trading products complements existing ASX energy and environmental products.
There are currently more than 80 clean technology companies with a combined market capitalisation in excess of $10.5 billion listed its boards.
GOE Price at posting:
11.5¢ Sentiment: Buy Disclosure: Held
