The Energy and Water Regulatory Commission checks for insider trading and manipulation of the electricity market

The energy regulator is starting an inspection of the operation of the energy exchange for possible violations of the European regulation REMIT. The reason is the record high prices of wholesale electricity in our country in recent weeks. The Energy and Water Regulatory Commission's audit relates in particular to possible violations of Articles 3 and 5 of Regulation / EU / 1227/2011 on the integrity and transparency of the wholesale energy market. In particular, this means that the regulator will check whether there has been no insider trading (prohibited under Article 3) and manipulation of the electricity market (prohibited under Article 5) on the Bulgarian wholesale electricity market.

The inspection covers the period July 15 - August 15, and was ordered by the Chairman of the EWRC Ivan Ivanov on August 6. With the working group of the regulator issued by him at that time, the Directorate for Monitoring and Control of Implementation of Regulation / EU / 1227/2011 was ordered to start a preliminary investigation for the existence of a substantiated presumption of a violation of Art. 3 and Art. 5 of REMIT.

In this regard, the Commission has already requested detailed information from TPP Maritza-East 2 EAD, ESO EAD and the Bulgarian Independent Energy Exchange EAD to indicate whether the non-participation of generating capacity of TPP Maritza-East 2 EAD on the Day ahead market influences the dynamics of wholesale electricity prices. The three companies should provide the information within 10 days.

After receiving the requested data, the EWRC working group will make an analysis, on the basis of which a report on the results of the preliminary study will be prepared. The report will be discussed at a Commission meeting. Depending on the conclusions and findings in it, the regulator will decide whether to initiate proceedings to establish a violation of Art. 3 and Art. 5 of REMIT.