“This inflation means in the case of energy firms, and also for other corporates, that with the same amount of gross notional value in derivatives they can actually do less business.“ - European Securities and Markets Authority

The extreme rise of prices in the wholesale energy market has led to many concerns throughout the industry. With higher values of corresponding derivative contracts, trading thresholds and limits are breached more easily. Concrete case: the EMIR threshold for commodity clearing of €3 billion restricts OTC trading activities, especially for power and gas. The good news is that ESMA is responding! The problem has been identified and ESMA proposes to increase the threshold to €4 billion. Take a look at our updated presentation or contact us directly for more information!