“Despite a year of challenging market conditions caused by Covid-19, over 2 million tonnes (t) were traded through t2e in 2020. A difficult year has seen a 22% increase in Forward trading with participants looking for certainty by locking in prices as well as benefitting from the reduced Forward fees,” said Angus Macpherson, managing director.
The Environment Exchange, or t2e, provides a transparent trading platform where members can trade Packaging Recovery Notes, known more familiarly as PRNs. These PRNs are produced by UK firms that recycle packaging or export it for recycling elsewhere. They must be purchased by companies that produce packaging. Under the Producer Responsibility Obligations (Packaging Waste) Regulations 2007, any UK company that produces packaging has a legal obligation to contribute to the cost of recycling this packaging, which they do by purchasing PRNs. The legislation applies to companies who handle over 50 tonnes of packaging per year and have an annual turnover of over £2 million.
t2e’s members have access to the best available prices, which are displayed live on the trading boards. The trading process is simple and members are kept informed with daily, weekly, monthly, and quarterly market reports.
The year's two million tonne milestone was reached on 22 December 2020, marking the first time in the history of the Exchange that this has been achieved within the calendar year.
Overall t2e traded 2,012,654t in 2020, with 47% in the Spot markets, 46% in the Forward markets and 7% in the 28 Day Rolling market.