SUBMISSION COVER SHEET

IMPORTANT: Check box if Confidential Treatment is requested 

Registered Entity Identifier Code (optional): 23-221

Organization: New York Mercantile Exchange, Inc. ("NYMEX")

Filing as a: DCM SEF DCO SDR 

Please note - only ONE choice allowed.

Filing Date (mm/dd/yy): 05/15/23 Filing Description: Delisting of Three (3) European 

Union Allowance (EUA) Futures and Option Contracts

SPECIFY FILING TYPE 

Please note only ONE choice allowed per Submission.

Organization Rules and Rule Amendments

Certification § 40.6(a)

Approval § 40.5(a)

Notification § 40.6(d)

Advance Notice of SIDCO Rule Change § 40.10(a)

SIDCO Emergency Rule Change § 40.10(h)

Rule Numbers: 

New Product Please note only ONE product per Submission.

Certification § 40.2(a) 

Certification Security Futures § 41.23(a)

Certification Swap Class § 40.2(d)

Approval § 40.3(a)

Approval Security Futures § 41.23(b)

Novel Derivative Product Notification § 40.12(a)

Swap Submission § 39.5

Product Terms and Conditions (product related Rules and Rule Amendments)

Certification § 40.6(a) 

Certification Made Available to Trade Determination § 40.6(a)

Certification Security Futures § 41.24(a)

Delisting (No Open Interest) § 40.6(a) 

Approval § 40.5(a)

Approval Made Available to Trade Determination § 40.5(a)

Approval Security Futures § 41.24(c)

Approval Amendments to enumerated agricultural products § 40.4(a), § 40.5(a)

“Non-Material Agricultural Rule Change” § 40.4(b)(5)

Notification § 40.6(d)

Official Name(s) of Product(s) Affected: See filing.

Rule Numbers: See filing.
300 Vesey Street New York, NY 10282 T 212 299 2200 F 212 301 4645 christopher.bowen@cmegroup.com cmegroup.com

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Christopher Bowen 

Managing Director and Chief Regulatory Counsel

Legal Department

May 15, 2023

VIA ELECTRONIC PORTAL

Mr. Christopher J. Kirkpatrick

Office of the Secretariat

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street, N.W.

Washington, DC 20581

Re: CFTC Regulation 40.6(a) Certification. Delisting of Three (3) European Union 

Allowance (EUA) Futures and Option Contracts.

NYMEX Submission No. 23-221

Dear Mr. Kirkpatrick:

New York Mercantile Exchange, Inc. (“NYMEX” or “Exchange”) is certifying to the Commodity Futures Trading 

Commission (“CFTC” or “Commission”) the delisting of three (3) European Union Allowance (EUA) futures and 

option contracts (the “Contracts”) as set forth in Table 1. below effective immediately. There is no open interest 

in the Contracts.

Table 1.

The Contracts were previously suspended from trading and clearing (see NYMEX Submission No. 20-045

dated January 13, 2020.

Exhibit A provides amendments to the applicable NYMEX Rulebook Chapters in blackline format.

As a result of the delisting, information regarding the Contracts has been deleted from the respective

product rulebook chapters, related position limits in the Position Limit, Position Accountability and 

Reportable Level Table located in the Interpretations and Special Notices Section of Chapter 5 (“Trading 

Qualifications and Practices”) of the NYMEX Rulebook (the “Table”), the CME Globex non-reviewable 

ranges located in Rule 588.H. of the NYMEX Rulebook, and the list of block-eligible products located on 

the CME Group website. The Table is attached under separate cover, in blackline format, as Exhibit B.

The Exchange reviewed the designated contract market core principles (“Core Principles”) as set forth in 

the Commodity Exchange Act (“Act” or “CEA”) and identified that the delisting may have some bearing on 

the following Core Principles:

• Emergency Authority: There is no open interest in the Contracts, and therefore there will be 

no market disruption related to their delisting.

Contract Title

Rulebook 

Chapter

CME Globex/

CME ClearPort 

Code

In Delivery Month European Union Allowance (EUA) Futures 1250 EAF/6T

In Delivery Month European Union Allowance (EUA) Option 1251 EAX/6U

In Delivery Month European Union Allowance (EUA) Serial Option 1252 9G/9G
300 Vesey Street New York, NY 10282 T 212 299 2200 F 212 301 4645 christopher.bowen@cmegroup.com cmegroup.com

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• Availability of General Information: The Exchange will make publicly available the details of 

the delisting by publishing a Special Executive Report (“SER”) to the marketplace. The SER 

will be available on CME Group’s website.

Pursuant to Section 5c(c) of the Act and CFTC Regulations 40.6(a), the Exchange hereby certifies that the 

delisting of the Contracts complies with the Act, including regulations under the Act. There were no 

substantive opposing views to the proposal.

The Exchange certifies that this submission has been concurrently posted on the CME Group website at 

http://www.cmegroup.com/market-regulation/rule-filings.html. 

Should you have any questions concerning the above, please contact the undersigned at (212) 299-2200 

or via e-mail at CMEGSubmissionInquiry@cmegroup.com. 

Sincerely,

/s/ Christopher Bowen 

Managing Director and Chief Regulatory Counsel 

Attachments: Exhibit A: Amendments to NYMEX Rulebook Chapters (blackline format)

Exhibit B: Position Limits, Position Accountability and Reportable Level Table in Chapter

5 of the NYMEX Rulebook (attached under separate cover) (blackline format)
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Exhibit A

NYMEX Rulebook

(deletions struckthrough)

Chapter 1250

In Delivery Month European Union Allowance (EUA) Futures

1250100. SCOPE OF CHAPTER

This chapter is limited in application to In Delivery Month European Union Allowance (EUA) futures. 

The procedures for trading, clearing, delivery and settlement not specifically covered herein or in 

Chapter 7B shall be governed by the general rules of the Exchange.

The provisions of these rules shall apply to all European Union Allowances bought or sold for future 

delivery on the Exchange with delivery at the Registry (UK).

The terms “seller” and “buyer” shall mean the seller of the physical product and the buyer of the 

physical product, respectively. The seller’s clearing member and buyer’s clearing member may 

utilize a designee to perform their respective and necessary obligations with regard to transferring 

and accepting allowances at the Registry (UK).

In January 2005, the European Union Emissions Trading Scheme (“EU ETS”) commenced operation 

as the largest multi-country, multi-sector Greenhouse Gas emission trading scheme world-wide. It 

covers over 11,500 energy-intensive installations across the EU which represent approximately half 

of Europe's emissions of CO2. These installations include combustion plants, oil refineries, coke 

ovens, iron and steel plants, and factories making cement, glass, lime, brick, ceramics, pulp and 

paper. The scheme is based on Directive 2003/87/EC, which entered into force on 25 October 2003.

The term “EUTL” shall mean the independent transaction log provided for in Article 20(1) of the 

Directive, the operation of which is further detailed in the Registries Regulation. 

The term “ITL” shall mean the International Transaction Log. All transactions between registries are 

maintained by transaction logs which verify the validity of transactions. 

The term “Community Independent Transaction Log” or “CITL” shall mean the predecessor log to the 

EUTL provided for in Article 20(1) of Directive 2003/87/EC, for the purpose of recording the issue, 

transfer and cancellation of EUAs under the EU ETS and established, operated and maintained 

pursuant to Article 5 of the Registry Regulations. The EU Commission established and is the 

Administrator of the CITL for transfers involving EU Member States. Transfers involving EU Entities 

entail an additional step from the ITL to the CITL under the Kyoto Protocol for transfers of EUAs 

between national registries.

The term “Communication Link” shall mean the electronic exchange of messages/notifications (1) by 

which a buyer and seller communicate with a Registry, and/or (2) by which a Registry communicates 

with CITL or EUTL, and/or (3) by which CITL or EUTL communicates with the ITL (where applicable), 

and/or (4) by which a Registry communicates with the ITL (where Applicable). 

The term “Registry (UK)” shall mean the Registry under the jurisdiction of the United Kingdom 

(collectively being the holding accounts within the Union Registry that are under the jurisdiction of 

the United Kingdom). 

The term “Registry” shall mean any registry in an EU Member State meeting the eligibility criteria and 

which has implemented the Linking Directive in a manner that authorizes private persons to hold 

EUAs and has Person Holding Accounts established in order to ensure the accurate accounting of

the issue of holding, transfer, acquisition, surrender, cancellation, and replacement of EUAs under 

the EU ETS, and which has been identified as a Registry by the Clearing House from time to time for 

the purpose of this futures contract. For the avoidance of doubt, references to a Registry shall include 

(i) the Union Registry and (ii) collectively the holding accounts within the Union Registry that are 

under the jurisdiction of a single Member State. In the case of (ii), such holding accounts will together 

be deemed to be a Registry for that Member State.

The term “Registry Regulations” shall mean the EU Commission Regulation (EC) No 2216/2004 for 

a standardized and secured system of registries pursuant to Directive 2003/87/EC of the European 

Parliament and of the Council and Decision 280/2004/EC of the European Parliament and of the 

Council, as amended from time to time including by EU Commission Regulation (EC) No.916/2007.
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The term “Union Registry” shall mean the Registry referred to as the “Community registry‟ in Article 

19(1) of the Directive.

For purposes of these rules, unless otherwise specified, times referred to herein shall refer to and 

indicate the prevailing time in the United Kingdom.

1250101. CONTRACT SPECIFICATIONS

The contract specifications for delivery on futures contracts shall apply to all European Union 

Allowances with delivery at the Registry (UK).

The term “EUA” or European Union Allowance shall be granted under a National Allocation Plan of 

an EU member state.

1250102. TRADING SPECIFICATIONS

Trading in In Delivery Month European Union Allowance (EUA) futures is regularly conducted in all 

calendar months. The number of months open for trading at a given time shall be determined by the 

Exchange.

1250102.A. Trading Schedule

The hours for trading shall be determined by the Exchange.

1250102.B. Trading Unit

The contract unit shall be one thousand (1,000) EUAs for a delivery made by transfer through the 

Registry (UK).

1250102.C. Price Increments 

The minimum price fluctuation shall be €0.0025 per EUA (€ 2.50 per contract). Prices shall be quoted 

in Euros and Euro cents per EUA. 

1250102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1250102.E. Termination of Trading 

No trades in In Delivery Month European Union Allowance (EUA) futures in the expiring contract 

month shall be made after the last Monday of the delivery month for such expiring contract. If the 

last Monday of the delivery month occurs on a UK Bank Holiday or, if a UK Bank Holiday occurs on 

any of the four (4) days following the last Monday of the delivery month, trading shall cease on the 

penultimate Monday of the delivery month. If the penultimate Monday of the delivery month occurs 

on a UK Bank Holiday or, if a UK Bank Holiday occurs on any of the four (4) days following the 

penultimate Monday of the delivery month, trading shall cease on the antepenultimate Monday of the 

delivery month. Any contracts remaining open after the last day of trading must be either:

Settled by delivery which shall take place in accordance with Rule 1250105; or

Liquidated by means of a bona fide Exchange for Related Position (“EFRP”) pursuant to Exchange 

Rule 538. An EFRP is permitted in the expiring futures contract at any time before 6:00 p.m. on 

the last day of trading of the expiring futures contract. An EFRP which establishes a futures 

position for either the buyer or the seller in an expired futures contract shall not be permitted 

following the termination of trading of an expired futures contract

1250103. DELIVERY

EUA delivery shall comply with all requirements for the electronic transfer of EUAs on the Registry 

(UK). Notwithstanding the use of a designee, all clearing members will remain ultimately responsible 

for performance of all applicable contract terms specific to the sellers’ clearing members and buyers’ 

clearing members.
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1250104. DELIVERY PROCEDURES 

The Exchange is a party to all deliveries under this contract and will receive EUAs from the seller’s 

clearing member into the Clearing House Holding Account of the Registry (UK). Following receipt 

from the seller’s clearing member, the Exchange will deliver EUAs to the buyer’s clearing member 

from the Clearing House Holding Account to the Registry (UK) Holding Account nominated by the 

buyer’s clearing member.

The seller’s clearing member shall comply with such requirements and obligations imposed by or 

under applicable Registry Regulations in all respects material to the submission of the forms noted 

in this rule. The buyer’s clearing member shall comply with such requirements and obligations 

imposed by or under applicable Registry Regulations in all respects material to ensure the 

acceptance of a valid transfer into its Holding Account. If a provision of the rules of this Chapter or 

the Exchange rules is inconsistent with a provision of the Registry Regulations, the provision of the 

rules of this Chapter and the Exchange rules shall prevail as between the buyer’s clearing member, 

seller’s clearing member, and the Exchange to the extent of such inconsistency and to the extent 

permitted by law.

By transferring EUAs to the Exchange, the seller’s clearing member represents and warrants that, at 

the time of delivery, it has good and marketable title to such EUAs, and that such EUAs are free and 

clear of all liens, security interests, claims, encumbrances and adverse claims.

1250104.A. Responsibilities of Clearing Members

1. Notice of Intention to Accept

Exchange clearing members having open long positions shall provide the Clearing House with 

a Notice of Intention to Accept delivery by 10:00 p.m. on the final day of trading of the delivery 

month. The Notice of Intention to Accept must be in the form prescribed by the Exchange and 

must be properly completed and indicate the name of the buyer, the number of contracts to be 

accepted, the Registry (UK) Account Number, the name, telephone number and e-mail address 

of the Authorized Representative(s) for that Registry account, and any additional information as 

may be required by the Exchange.

2. Notice of Intention to Deliver

Exchange clearing members having open short positions shall provide the Clearing House with 

a Notice of Intention to Deliver by 10:00 p.m. on the final day of trading of the delivery month. 

The Notice of Intention to Deliver must be in the form prescribed by the Exchange, and must be 

properly completed, indicate the name of the seller, the number of contracts to be delivered, the 

Registry (UK) Account Number, the name, telephone number and e-mail address of the 

Authorized Representative(s) for that Registry account, and any additional information as may 

be required by the Exchange.

1250104.B. Final Settlement Price

The final settlement price shall be the basis for delivery. 

1250104.C. Assignment Day

The Clearing House shall allocate Notices of Intention to Accept and Notices of Intention to Deliver

by matching positions, to the extent possible. 

The Clearing House shall provide Assignment Notice Reports to the respective clearing members on 

the final day of trading of the delivery month.

1250105. TIMING OF DELIVERY

1. The seller’s clearing member shall transfer EUAs subject to delivery to the Clearing House 

Holding Account of the Registry (UK) by 6:30 p.m. on the first business day after the final day of 

trading of the delivery month.

2. For each buyer’s clearing member that has satisfied its obligations under subsection (4) of this 

rule, the Clearing House shall initiate the process of transferring the EUAs to the buyer’s clearing 

member’s account at the Registry (UK) by 7:00 p.m. on the first business day after the final day 

of trading of the delivery month. 

3. The buyer’s clearing member shall receive EUAs from the Clearing House Holding Account of 

the Registry (UK) by 3:00 p.m. on the second business day after the final day of trading of the 

delivery month. 

4. The buyer’s clearing member shall deposit/transfer Euro currency equal to the full value of the 

product to the designated Clearing House bank account by 2:00 p.m. on the business day 

following the last day of trading of the delivery month.
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5. For each seller’s clearing member that has satisfied its obligations under subsection (1) of this 

rule, the Clearing House shall pay the seller’s clearing member the full contract value by 3:00 

p.m. on the second business day following the last day of trading of the delivery month.

1250106. DELIVERY MARGINS AND PAYMENT 

1250106.A. Definitions

For purposes of this Rule 1250106,

“Payment Date” shall mean the date on which the Clearing House transfers Payment in connection 

with a delivery to a seller’s clearing member.

“Payment” shall include the final settlement price times the number of contracts times 1,000.

1250106.B. Margin

The buyer’s clearing member and seller’s clearing member shall deposit with the Clearing House 

margins in such amounts and in such form as required by the Clearing House. Such margins shall 

be returned on the business day following notification to the Exchange that delivery and Payment 

have been completed.

1250106.C. Payment

Any Payment made on the Payment Date shall be based on EUAs that the seller’s clearing member 

is obligated to deliver pursuant to the applicable delivery.

1250107. VALIDITY OF DOCUMENTS

The Exchange makes no representation with respect to the authenticity, validity or accuracy of any 

Notice of Intention to Accept, Notice of Intention to Deliver, check or of any document or instrument 

delivered pursuant to these rules.

1250108. ALTERNATIVE DELIVERY PROCEDURE

A seller and buyer matched by the Exchange under Rule 1250104.C. may agree to make and take 

delivery under terms or conditions which differ from the terms and conditions prescribed by this 

Chapter. In such a case, clearing members shall execute an Alternative Notice of Intention to Deliver 

on the form prescribed by the Exchange and shall deliver a completed and executed copy of such 

notice to the Exchange. The delivery of an executed Alternative Notice of Intention to Deliver to the 

Exchange shall release the clearing members and the Exchange from their respective obligations 

under the rules of this Chapter and any other rules regarding physical delivery. 

In executing such notice, clearing members shall indemnify the Exchange against any liability, cost 

or expense the Exchange may incur for any reason as a result of the execution, delivery, or 

performance of such contracts or such agreement, or any breach thereof or default thereunder. Upon 

receipt of an executed Alternative Notice of Intention to Deliver, the Exchange will return to the 

clearing members all margin monies held for the account of each with respect to the contracts 

involved.
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Chapter 1251

In Delivery Month European Union Allowance (EUA) Option

1251100. SCOPE OF CHAPTER

This chapter is limited in application to put and call options on In Delivery Month European Union 

Allowance (EUA) futures contracts. In addition to the rules of this chapter, transactions in options on 

In Delivery Month European Union Allowance (EUA) futures shall be subject to the general rules of 

the Exchange insofar as applicable.

1251101. OPTION CHARACTERISTICS

The number of months open for trading at a given time shall be determined by the Exchange.

1251101.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1251101.B. Trading Unit

An In Delivery Month European Union Allowance (EUA) option traded on the Exchange represents 

an option to assume a short or long position in the underlying In Delivery Month European Union 

Allowance (EUA) futures contract at the strike price.

1251101.C. Price Increments

The minimum price fluctuation is €0.0025 per EUA. Prices shall be quoted in Euros (€) and Euro 

cents (¢) per EUA. A cabinet trade may occur at a price of €1.00 per contract, however, if it results 

in the liquidation of positions for both parties to the trade.

1251101.D. Position Limits, Exemptions, Position Accountability and Reportable Levels

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1251101.E. Termination of Trading

The option contract shall expire at the close of trading three business days prior to the expiration of 

the underlying In Delivery Month European Union Allowance (EUA) futures contract.

1251101.F. Type Option

The option is a European-style option which can only be exercised into the underlying futures on 

expiration day.

1251102. EXERCISE PRICES

Transactions shall be conducted for option contracts as set forth in Rule 300.20.
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Chapter 1252

In Delivery Month European Union Allowance (EUA) Serial Option

1252100. SCOPE OF CHAPTER

This chapter is limited in application to put and call options on In Delivery Month European Union 

Allowance (EUA) futures contracts. In addition to the rules of this chapter, transactions in options on 

In Delivery Month European Union Allowance (EUA) futures shall be subject to the general rules of 

the Exchange insofar as applicable.

1252101. OPTION CHARACTERISTICS

The number of months open for trading at a given time shall be determined by the Exchange.

1252101.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1252101.B. Trading Unit

An In Delivery Month European Union Allowance (EUA) Serial put option traded on the Exchange 

represents an option to assume a short position in the December contract month of the underlying In 

Delivery Month European Union Allowance (EUA) futures contract of the relevant year traded on the 

Exchange at the strike price. An In Delivery Month European Union Allowance (EUA) Serial call 

option traded on the Exchange represents an option to assume a long position in the December 

contract month of the underlying In Delivery Month European Union Allowance (EUA) futures contract 

of the relevant year traded on the Exchange at the strike price.

1252101.C. Price Increments

The minimum price fluctuation is €0.0025 per EUA. Prices shall be quoted in Euros (€) and Euro 

cents (¢) per EUA. A cabinet trade may occur at a price of €1.00 per contract, however, if it results 

in the liquidation of positions for both parties to the trade.

1252101.D. Position Limits, Exemptions, Position Accountability and Reportable Levels

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1252101.E. Termination of Trading

The option contract shall expire at the close of trading three business days prior to the expiration of 

the underlying In Delivery Month European Union Allowance (EUA) futures contract.

1252101.F. Type Option

The option is a European-style option which can only be exercised into the underlying futures on 

expiration day.

1252102. EXERCISE PRICES

Transactions shall be conducted for option contracts as set forth in Rule 300.20.
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Exhibit B

NYMEX Rulebook

Chapter 5

(“Trading Qualifications and Practices”)

Position Limits, Position Accountability and Reportable Level Table 

(attached under separate cover)