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EU Market Abuse Regulation in Energy Markets

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EU Market Abuse Regulation in Energy Markets

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EU Market Abuse Regulation in Energy Markets provides an in-depth analysis of the application of the EU Market Abuse Directive to energy markets. The main provisions of the Market Abuse Directive are the prohibition of insider trading and market mani­pu­la­tion. Due to the close link between market abuse regulation and the need for transparency, this book also covers regulations concerning the disclosure of infor­mation. Following the liberalisation of the European energy markets, energy trading has become a significant growth industry. Trading in electricity and gas takes place both bilaterally and through organised marketplaces. In addition to trading in electricity and gas for physical delivery, financial trading – in commodity derivatives contracts related to the underlying commodities – has become increasingly important. This fi­nan­cial trading allows participants in the physical markets to hedge physical po­si­tions. The financial markets are therefore closely linked to the physical markets. In addition, financial energy markets provide opportunities for speculation, which highlights the similarities between these markets and other fi­nan­ci­al markets. The market abuse regulation applies to trading in financial instruments admitted to trading on so-called regulated markets. Regulated markets for electricity and gas contracts have been established in several European countries and are becoming increasingly important. The market abuse regulation constitutes part of the regulation of financial markets. However, the in­formation of relevance to financial en­er­gy markets is generally con­nect­ed to con­di­tions in the underlying physical markets, and is therefore regulated by the authorities responsible for overseeing the physical markets. Thus, the subjects covered in this book can be seen as a separate field of law – energy market law – which combines the traditional disciplines of energy law and stock exchange/securities law. Both the markets and the re­gu­la­ti­ons are experiencing rapid developments. In addition to analysing the provisions already in force, this book also provides a normative contribution to the development of this discipline of law. Dr. juris Odd-Harald B. Wasenden is senior lawyer in the law firm Wiersholm in Oslo, Norway. This book is a revised version of his doctoral thesis.