no 21/07 Adjustment of margins for financial electricity contracts


Nord Pool Clearing hereby notifies the clearing members that the risk intervals, affecting the daily margin call, will be adjusted due to changes in volatility.  

Lysaker, 20 March 2007

The adjustments are in accordance with the clearing rules for the financial electricity market.

The risk intervals will be decreased for all financial electricity contracts.

The risk free interest rate used in the calculation of option prices will also be adjusted.

The new risk intervals will have impact on the calculation of daily margin calls, for which collateral must be posted by 11.00 a.m. on Thursday 22 March 2007.
For further information, please contact Nord Pool Clearing: 

Trond Svensgaard, head of risk management, 
phone:+47 67 10 84 12/+47 90 12 36 79

Kristian Kloster, risk management, 
phone: +47 67 10 84 15/+47 95 93 18 81