12th Dec 2005 07:01
Global Gaming Technologies PLC12 December 2005 ("GGT") Global Gaming Technologies plc Licensing of EDC technology - International Emissions Trading Markets London, 12 December 2005, GGT announces a licensing agreement between itswholly-owned software company Event Data Correlation ("EDC") and Affine CapitalPartners LLP for EDC's technology platform which will be customised forreal-time trading in the international emissions trading markets. It isestimated that the global emissions market will grow to euro 23 billion by 2010. EDC's proprietary aggregation and correlation software is designed to identifyand effect real-time, automated trading from vast amounts of event-basedstatistical data. Affine Capital Partners LLP is an international advisoryfirm whose associates are experts in the EU Emissions Trading Scheme ("EU-ETS")and international emissions and energy markets. The combination of EDC'stechnology platform and Affine's market knowledge will enable the real-timetrading of spot and futures contracts in emission permits known as EUAllowances. Exchanges have already been established around Europe and global exchanges arebeing developed to trade financial products in the international emissionmarkets pursuant to the Kyoto Protocol. Commenting on the licensing agreement, Paul Pullinger, CEO of GGT, said: "Our technology provides an excellent trading platform in this market where somany factors come into play and event-based data from a number of sources haveto be collected and converted into a common form (normalised) in sub-second timeto enable trading across multiple international markets." Peter Clarke, Managing Director (U.K.) of Affine Capital Partners, said: "EDC's event-based technology is an ideal platform for us in this growth market,where we can take disparate data sets on emissions, weather, natural gas, powerand coal to provide structured products for our clients wishing to manage andoptimize their international emissions and energy exposure." Enquiries: Dominic Johnson tel: +44 (0) 20 7404 0777GGT John Bick tel: +44 (0) 7917 649362 Kathryn Brudenell-BruceDirector of CommunicationsAffine Capital Partners LLP tel: +44 (0) 7734 0550 Notes to Editors - International Emission Trading Markets The European Union introduced a Directive to reduce emissions of carbon dioxidewith effect on January 1, 2005. Carbon dioxide (CO2) is thought to contribute toglobal warming. The EU Directive is divided into two phases: Phase I for theyears 2005-7 inclusive, and Phase II for the years 2008-12 inclusive. International Emissions Trading Scheme The approach adopted by the EU to reduce carbon dioxide (CO2) emissions is a 'cap and trade' system known as the EU Emissions Trading Scheme (EU-ETS).Instruments known as "Allowances" representing the right to emit one tonne ofCO2 are distributed to 11,400 facilities in all 25 EU member states. Thefacilities are given a "target" or "cap" for the three years 2005-7 inclusive.If a facility reduces its carbon dioxide emissions more than its target, it cansell excess Allowances to other facilities that exceed their targets. The priceof an EU Allowance is set by the capital markets. In Phase I, any installation that exceeds its targets will be fined €40 pertonne of carbon dioxide and the amount of the deficit in Allowances will becarried over to the following year. In Phase II, the fine increases to €100 pertonne, any deficit will be carried over to the following year, and moreinstallations and gases will be covered European-based Exchanges have already been established to trade spot and futurescontracts in EU Allowances. Furthermore, the energy mix in Europe of power,natural gas, coal and oil has been impacted by the imposition of a penalty forthe emission of carbon dioxide. The biggest proportion of CO2 emissions comefrom the power sector, particularly utilities with coal-fired fleets. The Kyoto Protocol goes into effect on January 1, 2008, to include majoreconomies such as Japan, Canada, Russia, China and India in an internationalemissions trading scheme which will also include the EU. end This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Sirius Pet