Collateral

To cover your obligations you may use the following collateral:

• Cash (EUR) on a Collateral and Settlement Account in your Settlement Bank, or at your Client Collateral and Settlement Account with NOS.

The Power market is quoted and settled in EUR and the member has to cover the settlements with cash on a Collateral and Settlement Account. The cash held on this account can be used to cover the margin requirements and base collateral requirement in addition to the settlements. The cash deposit is pledged to NOS. The accounts are regulated by the appendix 3 to the Rulebook.

Interest paid on the Collateral and Settlement Account by the Settlement Bank is negotiated by the member.
 

 • Stand by Letter of Credit.

The members may use a Stand by Letter of Credit (LOC) in EUR to cover the margin requirements and Base Collateral requirement. The Letter of Credit has to be on the NOS standard wording as per the appendix 4 to the Rulebook. The LOC can not be used to cover settlements.

Excessive Collateral

The excessive cash collateral is shown on the Daily Summary Report as well as in the Clearing Online Application. Withdrawals is organised through the settlement bank.