Pilot Project – Energy Trade Data Reporting Scheme
Background information
Waler Boltz, Chairman CEER Gas Working Group
19th Madrid Forum
21-22 March 2011
Overview
• First project at EU level for energy wholesale data covering several
Member States (including EXAA, EPEX Spot, EEX and OTC data);
• First project at EU level using a trade confirmation system like
EFETnet’s eXRP to collect energy wholesale data;
• Cooperation with a surveillance software provider for the purpose of
the Pilot Project (Scila/Cinnober) and import of the data received during
the project for monitoring purposes;
• Organisation of discussions and meetings with regulators and
market participants, including three steering committee meetings with
representatives from all market participants;
• Dissemination of information on Pilot Project, e.g. on ERGEG
website, EMART conference, E-World;
• High interest in Pilot Project by all market participants.
Motivation
• Enhanced framework for the supervision of traded energy
markets is needed;
• Need to further develop market transparency;
• Current (national) wholesale energy market monitoring initiatives
are not harmonised and comprehensive - Patchwork of reporting
schemes may not support effective surveillance;
• Further increase in electricity and gas trading activities due to
advances in European energy market integration.
Pilot Project for energy trade data
reporting
Objectives
1.
Demonstration of the feasibility of an efficient and cost effective
standardised trade data collection, storage and monitoring scheme;
2.
Recommendations for a future European trade data reporting
and monitoring scheme on issues such as data field definition
standardisation, communication interfaces, transaction data
anonymisation, secure data access and data publication;
3.
Development of a concept and examples for analyses of trade
(and other relevant) data for market monitoring purposes including
potential market abuse;
4.
Development of a concept and representative examples for
statistical analyses of trade data.
Project organisation
Steering Committee
(European Commission, ERGEG,
EFET, EEX, Spectron, RWE,
FORMAET)
ERGEG
Financial Services Working Group
E-Control
Project Management & Support
Cooperation
with
EFETnet
(eXRP)
Project
partner:
FORMAET
Services
Cooperation
with Energy
market venues
Pilot project test setting
• Establishing a fully functional prototype for collecting and processing
energy trade data and fundamental data
Fundamental
data
SCILA
analysis
eXRP
Trade data
EFETbox
Exchange
Trade data
Database
IT-Architecture (1) –
Concept for data sourcing
Other Data
(e.g. weather data)
Matched Trades
Cleared and uncleared Trades
Brokered and unbrokered Trades
Exchange and OTC Trades
Trade Data
Fundamental Data
(e.g. ETSOVISTA)
Load
Generation
Transmission
Exchange trades
including unmatched orders
Potential
reporting
paths
Obligation
to report
Exchange
Trader
Broker
Trader
Trader
TSO
Generator
TSO
IT-Architecture (2) –
Concept for Data Access
Trade Data
access authorisation and framework for public information
European Level
• ACER
• ESMA
• ….
National Level
• National Regulatory
Authorities
• National Financial
Supervision Authorities
• Exchange Market
Surveillances
• …..
Public Level
• General Public
• Academia
• Other interested parties
•…
Preliminary results
• Feasibility of electronic trade data reporting via a trade confirmation
system (EFETnet (eXRP)) tested and proven;
• Sample of historic trade data from three energy exchanges, OTC
trades and fundamental data collected and imported to pilot project
database (over 500.000 reported transactions in electricity and
over 30.000 reported fundamental data), i.e. a significant coverage of
the EU wholesale electricity market;
• Data analysis and statistical reporting successfully implemented
through Scila Surveillance software as a sample for the monitoring of
market abuse in the EU energy wholesale markets and
development of surveillance routines.
Prototype
of a central energy trade data reporting and monitoring scheme
successfully developed and implemented within 6 months.
Recommendations
• Legal framework for cooperation and data access across borders
has to be ensured;
• Preference for a central data reporting system at EU level as
opposed to national schemes;
• Market knowledge and relevant fundamental data are crucial for a
meaningful monitoring of the energy wholesale market;
• Concerns of market participants with respect to data security and
anonymisation have to be taken into account;
• Publication of aggregated data;
• Governance issues to be sorted out by ACER.
Vision:
One central trade data base for the
energy wholesale market
ACER
Energy wholesale market participant
ESMA
All trades in
Energy wholesale products
Trade database
Access rights
National
Regulatory Authority
Competition
Authority
Financial
Market Authority
But: Interplay of REMIT with the EU financial market legislation has to be sorted out!
Next steps
• Draft final report (including statements regarding the specificities of
the gas wholesale market);
• Presentation, discussion and approval in FIS WG;
• Dissemination of results of pilot project
• Commission services DG Energy and DG Market;
• ESMA and financial regulators;
• EFET, LEBA, EuroPEX;
• Public.
• Use the results of the pilot project for the REMIT discussion.
Thank you for your attention!
www.energy-regulators.eu