The Amsterdam-based NWB (Noord-Europees Wijnopslag Bedrijf, North European Wine Storage Company) and Port of Amsterdam have ensured that PLATTS will include ethanol in their price assessment as of 1 April 2016. This is good for the competitive position of the storage and transhipment of ethanol in the tank terminals in Amsterdam and good for the negotiating position of ethanol producers and trading houses.
NWB has been based in the port of Amsterdam for over forty years and is specialised in the storage and transhipment of potable and industrial ethanol and bioethanol. In 2015 the terminal was improved and made accessible for sea-going vessels of up to 185 metres in length. With both a truck loading facility and a rail connection, the infrastructure is optimal. The expansion and adoption by PLATTS has strengthened the competitive position of the bioethanol cargo flow in particular.
As the largest petrol port in the world specialised in blending, the pricing and arrival of (more) ethanol is important as it forms part of the blending process. The storage of biofuels (such as ethanol) is also important for the port due to its role in the energy transition. The port of Amsterdam is fully committed to this. It is expected that storage will increase with the second and third generation biofuels, for example alcohol from algae.
Koen Overtoom, COO of Port of Amsterdam: ‘Diversification and energy transition, and stimulating renewable energy are extremely important for our port. Ethanol storage fits into this energy transition strategy very well. We are therefore particularly pleased that the wishes of the port of Amsterdam and NWB have been recognised by PLATTS, a leading platform in the energy field.’
Frederik Laumans, CEO of NWB: ‘The inclusion by PLATTS (as benchmark for the trade in ethanol in Europe) of Amsterdam in their Market On Closure Price Assessment enables traders and producers to physically store ethanol in Amsterdam and to subsequently trade it FOB (Free On Board) Amsterdam. This eliminates the need for transport from Amsterdam to Rotterdam and back in order to be traded via this PLATTS platform.’
The inclusion of Amsterdam ethanol by PLATTS will increase its visibility and tradability. PLATTS is a leading platform for information and is a benchmark for customers in more than 150 countries active in the energy markets. PLATTS provides information about gas, electricity, metals, agriculture and petrochemicals.