Platts to raise Ethanol T2 FOB Rotterdam Premium assessment GHG savings, launch eWindow instrument

Platts, part of S&P Global Commodity Insights, will increase the minimum greenhouse gases savings specification for its T2 Ethanol FOB Rotterdam Premium assessment (AASNR00) from 85% to 90%, equivalent to a carbon intensity of 9.4 g CO2e/MJ, based on a fossil fuel comparator of 94 g CO2e/MJ, under the European Commission's Renewable Energy Directive (RED) II & III, effective Oct. 6.

The Ethanol T2 Premium assessment will be on a FOB Antwerp-Rotterdam-Amsterdam basis, and reflect a basis volume of 1,000 mt. Other volumes may be considered and normalized back to the basis volume . The assessment will reflect a strip laycan of 3-15 days forward (Monday to Tuesday) or 5-15 days forward (Wednesday to Friday).

Platts will rename the Ethanol T2 FOB Rotterdam Premium assessment to Ethanol T2 High GHG savings, FOB Rotterdam. Platts will also publish the ethanol price as an outright value and as a premium to the Ethanol T2 FOB Rotterdam assessment, in Eur/cu m.

The Ethanol T2 High GHG Savings FOB Rotterdam assessment will be added into the eWindow communication tool, effective Oct. 15.

Participants will be able to submit bids and offers for publication either directly through the eWindow communication tool or via a price reporter. Bids and offers can be submitted as a differential to the Platts T2 FOB Rotterdam benchmark assessment (AAYDT00) or as an outright price in Eur/cu m.

In addition, the Nabisy Proof of Sustainability documentation and transfer via the Nabisy system will be a standard requirement for all Ethanol T2 high GHG savings FOB Rotterdam barge indications in the Platts Market on Close assessment process. The transfer of PoS documentation and the Nabisy-registered PoS to the Nabisy system between counterparties must occur within 30 days of barge loading, or 30 days after title and risk of product have transferred to the buyer.

Nabisy is Germany's web-based application for sustainable biomass, operated by the Federal Office for Agriculture and Food.

Platts will also make as standard practice the averaging of GHG savings across Proof of Sustainability (PoS) certificates. The weighted average of GHG savings across provided PoS certificates for a parcel traded in the MOC should meet a minimum of 90% GHG savings, equivalent to a maximum CI of 9.4 g CO2e/MJ.

However, individual PoS certificates should not fall below 64.3% GHG savings, equivalent to a maximum CI of 33.52 g CO2e/MJ, unless mutually agreed otherwise.

In addition, taking into account the 3/5-15 days forward traded strip, buyers should give 48 clear working hours for nomination. Counterparties are expected to perform on trades published in the MOC in line with standard market practice.

These changes follow a proposal published on Aug. 19.

Full details on Platts T2 Ethanol benchmark assessment can be found in the Global Biofuels specifications guide .

Please send any comments or feedback to mrts_biofuelsandfeedstocks@spglobal.com and pricegroup@spglobal.com .

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