Platts proposes to launch Battery Spreads and Duration Ratios

Platts, part of S&P Global Commodity Insights, proposes to launch daily German, Spanish and UK Battery Spreads and Duration Ratios on April 1.

Battery Spreads represent the arbitrage opportunity in the wholesale electricity market between the charge of the Battery Energy Storage Systems (BESS) when the hourly electricity prices are the lowest and the discharge when the electricity prices are the highest.

The index charge and discharge basis is one cycle a day over 1 hour, 2 hours and 4 hours.

Alongside the Battery Spreads, Platts launches respective duration ratios, comparing the 1 hour cycle with 2 hours and 4 hours and 2 hours versus 4 hour, which represents the duration ratio arbitrage.

The newly launched symbols and their conversions to dollars and euros are represented in the table below:

Battery Spreads

Duration Ratios

Platts invites any questions and feedback to powerpricing@spglobal.com and pricegroup@spglobal.com .

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing.

Platts will consider all comments received and will make comments not marked as confidential available upon request.