Research European Commodity Market Regulations - Part 1 | Page 2

European Energy Market Regulations V3.1

Contents
Introduction ....................................................................................................................................................4
Big Compliance comes to Energy Trading.......................................................................................................5
Background .....................................................................................................................................................6
The Banking crisis of 2007/2008 .................................................................................................................6
MiFID II........................................................................................................................................................6
Basle III/CRD IV ...........................................................................................................................................6
The EU “Third Package” and REMIT............................................................................................................7
Key Themes .....................................................................................................................................................8
EMIR Rules Overview ......................................................................................................................................9
Different types of party under EMIR ..........................................................................................................9
REMIT Rules Overview ..................................................................................................................................10
Timings ..........................................................................................................................................................11
The EMIR Threshold for Non-Financial Counterparties ................................................................................12
Threshold calculation................................................................................................................................12
Trade Reporting ............................................................................................................................................14
Trade Reporting for EMIR .........................................................................................................................14
What must be reported? ......................................................................................................................14
Where data should be reported? .........................................................................................................14
Which data must be reported? ............................................................................................................14
When should data be reported? ..........................................................................................................15
Backloading ..........................................................................................................................................15
Trade Reporting for REMIT .......................................................................................................................15
Which data must be reported? ............................................................................................................15
Where should data be reported to? .....................................................................................................15
What data types must be reported? ....................................................................................................16
Non Standard Trades ............................................................................................................................17
Data Destinations .....................................................................................................................................17
Implementing a trade reporting solution .................................................................................................18
Solution types .......................................................................................................................................18
Required Solution Activities......................................................................................................................19
Data sourcing and gap analysis ............................................................................................................19
Data mapping and capture ...................................................................................................................19
Configuration choice and connection mechanism ...............................................................................19
Data enrichment ...................................................................................................................................19
Pre trade data .......................................................................................................................................19
Issues being encountered .........................................................................................................................20
LEIs (Legal Entity Identifiers) .............................................................................................................