REMIT / StromVV overview
REMIT is the Regulation on Energy Market Integrity and Transparency Regulation (EU) No 1227/2011 of 25 October 2011. It entered into force on 8 December 2011 with the objective of identification and prevention of the use of insider information and other forms of market abuse. It is an EU regulation and monitoring will be undertaken by the Agency for the Cooperation of Energy Regulators (ACER).
Anyone who enters into any transaction on EU wholesale energy markets in wholesale energy products, whether EU or non EU domiciled, is captured by the regulation. Broadly speaking, there are two main parties affected:
- Market Participants - means any person, including transmission system operators, who enters into transactions, including the placing of orders to trade, in one or more wholesale energy markets; and
- Organised Market Places (OMPs) - ACER has published a list of OMPs which includes energy exchanges and other trading venues as defined under the Markets in Financial Instruments and Regulation (MiFIR).
Under the regulation, any contract related to the supply of gas and power must be reported.
The Swiss Federal Council adopted the EU REMIT regulation in Swiss legislation in the form of Electricity Supply Ordinance 734, 71 of 14 March 2008 (StromVV). This ordinance has the objective of supervising wholesale energy trading in Switzerland and ensuring detection and prevention of the use of insider trading and or other forms of market manipulation.
The new regulation (Art. 26a-c) in the Electricity Supply Ordinance, which entered into force on 1 July 2013, states that data reported by Swiss entities under EU-REMIT relating to the wholesale electricity market have also to be reported in parallel to the Swiss Federal Electricity Commission (ElCom).