nergy trading is framed by Regulation No 1227/2011 of 25 October 2011 on wholesale energy market integrity and transparency. The stringency of the rules aims to uncover abuses.
National authorities in Member States are empowered to put in place penalties in order to battle market manipulation. The EU has focused on the effort to eliminate market abuse so as to protect businesses and consumers from paying higher prices for energy than they normally would under terms of effective competition.
More specifically, the respective framework prohibits use of inside information when selling or buying at wholesale energy markets, outlaws manipulative transactions or the spreading of incorrect information that gives false or misleading signals about the supply, demand or prices and obliges energy traders to report their transactions to the Agency for the Cooperation of Energy Regulators (ACER), making the latter responsible for independent monitoring of all the trades and checking whether rules are followed.