CFTC Second Voluntary Carbon 

Markets Convening

Caroline Gentry, Director Environmental Markets,

Nodal Exchange

Washington DC, July 19, 2023
EEX Group’s activities in global environmental markets

© EEX Group, 2023 2

 EU ETS offering since 2005,

spot and derivatives

 Trusted platform for primary 

market auctions in all EU states

 Launch of German Transport 

and Heat ETS platform in 2021

 More than 1.6 billion tonnes of 

CO2 transacted in 2021 (+26%)

 Launch of auction platform 

for New Zealand ETS in 2021 

with local partner NZX

 Investment by Deutsche Börse 

into AirCarbon Exchange to 

develop voluntary carbon 

 Cooperation with Chinese 

carbon exchanges to develop 

national carbon market and 

international marketing

 Nodal lists world’s largest set 

of environmental contracts

 US carbon, renewable energy 

certificate and renewable fuel 

credit markets

 Voluntary Carbon Market 

launched in June 2022

 2023 H1 total trading volume 

increased by 21% from 2022 H1

North America Europe Asia-Pacific

NZX: New Zealand Exchange

NZ ETS 

Auction Services

Cooperation with NZX

EU ETS 

Auction Services, 

Spot & Derivatives

UK ETS

Under RGGI development Derivatives

WCI CCA & 

Washington

Derivatives

China ETS

Memorandum of Understanding

German Sector nEHS 

Sell-off platform

Korean ETS

Memorandum of Understanding
Environmental contracts offered by Nodal Exchange

We believe in a granular, holistic offering of environmental products and services

Public © EEX AG, 2023 3

North America

Compliance Carbon Emissions 

 WCI CCA Futures & Options

 Washington Carbon Futures & Options

 RGGI Carbon Futures & Options

Carbon Offsets

Compliance

 WCI California Carbon Offset 0 

 California Carbon Offset 8 

 California Carbon Offset 0 with Direct

Environmental Benefits

Voluntary

 VER CORSIA Eligible Futures & Options

 VER Nature Based Futures & Options

 Carbon Removal Future

 Global Emission Reduction (GER) Future

 CER 2013+

 CER 2016+

 CER Commitment Period 2

Today, Nodal 

Exchange 

proudly offers 

the broadest 

set of 

environmental 

contracts 

globally.

SO2/NOx Emissions 

 CSAPR TR SO2 Group 1&2 Futures

 CSAPR TR NOx Annual Allowances Futures

 CSAPR NOx Ozone Season Group 2&3 F&O

Renewable Energy Certificates 

 PJM GATS REC Futures & Options 

(Tri-Qual, DC, MD, NJ, OH, PA)

 NEPOOL GIS REC Futures & Options 

(Duo-Qual, CT, ME, MA, NH, RI)

 NY-GATS REC Futures 

 M-RETS REC Futures 

 TX REC Futures & Options 

Renewable Fuel Credits 

 California Low Carbon Fuel Standard F&O

 Oregon Clean Fuel Program F&O

 Renewable Identification Numbers F&O

(D3 Cellulosic Biofuel, D4 Biodiesel,

D5 Advanced Biofuel, D6 Renewable Biofuel)
Focus on Nodal voluntary carbon contracts

We believe in building markets long-term and in the combination of synergetic elements

Typical carbon futures contract

 Underlying: greenhouse gas emissions allowance of 

the relevant program, each representing 1 metric 

tonne of CO2e

 Trading unit: 1 lot

 Lot size: 1,000 allowances

 Currency: USD

 Price precision: $0.01 (or EUR 0.01) / allowance

 Contract series: monthly, main expiry in December

 Final settlement price: Daily settlement price of last

trading day

 Settlement: physical delivery three (or two) business 

days after last trading day via registry system

 EEX Group acquires 100% of 

Nodal Exchange in March 2017

 EEX Group starts strategic 

cooperation with IncubEx in 

September 2017 to expand the 

environmental offering and grow 

the business

 IncubEx has deep expertise in the 

environmental derivatives markets 

and provides external business 

development

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Nodal‘s Voluntary Carbon Vision

Driving the standardization of the voluntary carbon market

© EEX AG, 2023 5

The path to standardization

The VCM is a complex, highly fragmented market. 22 Global Independent Standards are setting the playground for 12 methodologies with 25+ methodology sub-types and 700+

specific methodologies for 10,000+ projects. And in the end buyer and seller come together on a bilateral basis - highly time-expensive and without clear price signal.

 Nodal strives to facilitate a greater level of standardization to unlock the full potential of VCM

Overview - Offset standards & categories 
Nodal‘s Voluntary Carbon Vision

Standardization as much as possible, differentation as much as needed

© EEX AG, 2023 6

Removal as best-case solution

Several scientific groups such as the Oxford Principles for Net Zero Aligned Carbon Offsetting and the Institutional Investors Group on Climate Change (IIGCC) expressing a

preference over the long term for offsets that focus on removing carbon from the atmosphere (e.g., afforestation, reforestation, soil enhancement, and carbon capture and storage

technologies) over reduction-based offsets that prevent more carbon going into the atmosphere (e.g. REDD+ or renewable energy).

Four main categories of voluntary carbon credits...

Source: S&P Global Platts
Nodal Voluntary Carbon Product suite

Each credit represents a carbon 

reduction/removal that is eligible 

under the 2021-2023 pilot phase of 

the Carbon Offsetting and Reduction 

Scheme for International Aviation 

(CORSIA) scheme established by 

the International Civil Aviation 

Organization (ICAO). 

The GER by NZM (Redshaw) 

consists of 4 sub-contracts which 

represent different credit types in 

the market from cookstove credits, 

over nature-based solutions to 

removal credits.

Product 

description

Eligible 

registries

Achievable 

climate goals of 

companies*

Verra VCS, Climate Action Reserve 

(CAR), American Carbon Registry 

(ACR), Gold Standard (GS)

Verra VCS in combination with Verra 

CCB

Verra VCS, Gold Standard (GS), 

Union Registry

Verra VCS, Gold Standard, 

American Carbon Registry (ACR)

Carbon neutral Carbon neutral

CORSIA Nature-based Removal GER

Differentiator

Futures contracts (36 monthly exp. + 7 additional Dec exp.; USD denominated)

Options for the CORSIA and nature-based product (36 monthly exp. + 7 additional Dec exp.; USD denominated) Offering

Net-Zero Net-Zero by 2050

Carbon neutral each year

Gold Standard as additional registry First-of-its-kind product to get on a 

pathway to Net-Zero by 2050 

Vintage contracts to give the market 

the opportunity to trade newer 

vintages

First-of-its-kind product 

Using removals is the only way to go 

Net-Zero

Each credit represents a carbon 

removal that absorbs CO2 from 

the atmosphere and stores it. 

Currently, the eligible methodologies 

are Nature-based solutions 

(Afforestation and Reforestation).

Each credit represents a carbon 

reduction/removal generated by a 

nature-based project (e.g. avoided 

deforestation) and accompanied 

by additional certification(s) for 

co-benefits achieved (e.g. Climate, 

Community & Biodiversity (CCB) 

standards and Reforestation).

© EEX AG, 2023 7
Thank you!