The Singapore Exchange (SGX) is planning to launch the first electricity futures in Asia to provide a means for market participants in the Singapore electricity market to manage their risk exposures.

It is starting a public consultation on the proposed introduction of SGX Uniform Singapore Energy Price (Usep) quarterly base load electricity futures.

The futrues will be traded on its derivatives trading platform and cleared on its clearing house.

The contract will be a standard, cash-settled futures contract listed on a quarterly basis: January to March, April to June, July to September, and October to December.