The European Commission is calling on market participants to weigh in on a review of the functioning of commodity derivatives markets and aspects of spot energy trading. A targeted consultation, open until 23 April, aims to gather insights that could shape future regulatory changes, particularly in relation to Markets in Financial Instruments Directive (MiFID II) and Regulation on Wholesale Energy Market Integrity and Transparency(REMIT).
The consultation is aimed at a wide spectrum of industry players, including commodity traders, financial market participants, supervisors, and infrastructure providers such as clearinghouses and trade repositories. With the EU focused on enhancing market efficiency and resilience while reducing regulatory burdens, this is an opportunity for stakeholders to voice their concerns and recommendations.
The initiative comes as part of broader efforts to refine the regulatory framework for financial markets. MiFID II and REMIT play key roles in ensuring transparency and stability, but recent market developments—especially in energy trading—have prompted discussions on whether adjustments are needed.
Potential impact on post-trade processes
For post-trade professionals, any adjustments to MiFID or REMIT could have direct consequences for clearing, reporting, and risk management obligations. The European Commission is also looking at specific cases, such as gas-related contracts, which may require targeted regulatory solutions.
The feedback gathered will help determine whether legislative amendments are needed and, if so, how they should be designed to maintain market integrity without creating unnecessary compliance burdens.
Next steps
Market participants have until 23 April to submit their views. Once the consultation closes, the Commission will analyse the responses and decide on potential policy actions.
