New Exchange Fee
1 July 2019
Water brokers have always charged a commission to trade water. When water prices go up, broker commissions go up. H2OX sees the conflict this pricing model can create. H2OX are an exchange not a broker, so we’ve decided to change.
From 1 July 2019 all allocation trades through H2OX will be charged at a flat fee of $2.00 per ML (minimum $75 per trade) excluding GST.
As a result of this change, the exchange fee for buying or selling your allocation water through H2OX will reduce from over $5 per ML at current water prices tojust $2.00 per ML, saving you money.
By charging a flat volumetric fee, our exchange fee is now independent of the price of water, the way it should be. It’s another way H2OX are driving innovation in the water market, saving you money and ensuring better market outcomes for all participants.
H2OX began in the Australian water market 5 years ago with the vision to be THE independent water exchange. Our new fixed exchange fee of $2.00 per ML better reflects our role as a water exchange and solidifies our resolve to become the “ASX for water” – a single authoritative source through which all water is traded.
In recent months there have been increasing calls for more transparency in the water market. Irrigators are worried that some participants are manipulating the market. The current state of the water market facilitates such behaviour. H2OX hold the view that the water market should be regulated and that all water should trade through a single exchange. This would provide absolute price transparency to the market.
For more information check out the new fees.
The H2OX team look forward to dealing with you in the 2019-2020 irrigation season.