Trading of Tickets under the Compulsory Stock Obligation (CSO) of Crude Oil and/or Petroleum Products

To comply with standards set by the International Energy Agency countries in the EU are obligated to hold emergency stocks of crude oil and petroleum products. These stocks provide a safeguard in case of a temporary supply disruption. Governments can choose to either comply through a central stockholding agency or delegate their obligation to companies producing or supplying refined products to the market. These institutions can meet these obligations either by holding physical stocks or by acquiring leasing contracts. Leasing contracts are traded in form of “Tickets” that represent the holding of a specific volume and type of stock. Tickets are for stocks of crude oil and petroleum products, including gasoline products, diesel fuel, light heating oil and jet fuel (JET A1). The seller of the ticket guarantees the buyer to hold the stock for a specified period of time for a predetermined fee and make it available to the buyer should there be a supply crisis. Stockholding tickets can be traded between obligated entities and across countries. Since bilateral agreements are no longer required for holding stocks in other European countries, the trade of stockholding tickets across borders is becoming increasingly attractive. This allows for greater flexibility and efficiency gains as countries as well as companies are generally in a deficit or a surplus position due to differences in industrial focus.

Biofuels and other additives can count towards maintained stock levels if they are blended with petroleum products or are stored in the member state.

Stockholding Tickets Brokerage

Stockholding Tickets Brokerage Aither Commodities is a Broker of Stockholding Tickets in the European market. Through its extensive network of major players in the energy markets across Europe Aither Commodties is able to facilitate trades of both small and large volumes of all required fuels.