The Highest Standards of Transparency on the Baltic Gas Exchange
Baltic Gas Exchange GET Baltic kindly reminds Lithuanian, Latvian and Estonian market participants about their obligation to comply with regulations that were enshrined in the Regulation No. 1227/2011 of the European Parliament and of the Council on wholesale energy market integrity and transparency (REMIT) which went in to force already back on 28 December 2011.
Regulation provides for the continuous monitoring of wholesale energy markets at European Union level, as well as prohibitions and obligations of market participants. The implementation of REMIT is essential to build confidence among European energy consumers and other market participants in the integrity and fair prices of the electricity and natural gas markets.
GET Baltic (the Company), acting as an organized market place and as a natural gas market operator, strives to ensure fair competition and transparency on the Baltic Gas Exchange. Accordingly, the Company continuously monitors submitted orders and concluded transactions on the Baltic Gas Exchange. GET Baltic is always committed to helping market participants to comply with their legal obligations: consults them and provides additional services enabling the implementation of the provisions of REMIT. Wholesale market participants may use GET Baltic’s REMIT data reporting service to fulfill their obligation to provide ACER with bilateral contracts data. In order comply with the obligation to disclose inside information properly and in a timely manner, GET Baltic’s platform for disclosure of Inside Information (UMM platform) can be used.
In July 2019 Lithuanian National Energy Regulatory Council (NERC) informed all market participants that after conducting an inspection of Lithuanian natural gas market participant UAB “Geros dujos” and evaluating the information gathered during inspection, established that UAB “Geros dujos” concluding sell transactions on Lithuanian market area on the first half of the year 2017 breached Article 5 of the REMIT provisions.
This is the first infringement of its kind ruled in Lithuania. Violation of Article 5 of REMIT is liable to a fine from 579 Eur up to 10% annual revenue from the activity for which the irregularity was committed in the preceding financial year.
GET Baltic poses the highest transparency requirements for the exchange participants. Considering that UAB “Geros dujos” has violated Article 5 of the REMIT Regulation, as well as paragraph 4.1 of the Regulation of Trading on the Natural Gas Exchange, obliging market participants not to abuse and manipulate the market, GET Baltic adopted the decision to withdrawn UAB “Geros dujos” status of the participant from 31 July 2019.
Baltic Gas Exchange GET Baltic carries out market monitoring activity to ensure the level-playing field for all market participants. Information regarding any suspicion of attempted market manipulation, market manipulation or insider trading shall be reported to the national regulatory authority of the country concerned.
By implementing REMIT requirements, the Company works closely with both – national regulatory authorities and market participants and is always ready to provide regulatory advice on REMIT to the market participants and other interested parties.
Head of Trading and Product Development
Tel. +370 636 64354