ACER REMIT News & FAQ

On this page we inform you about: ACER REMIT news, explain the most important terms and questions of the ACER REMIT reporting guideline (FAQ) and describe the  basic portal features.

ACER REMIT News

04.2023 – REMITTable1_V1 is planned to be discontinued

In April 2023 the REMITTable1_V1 Schema will be discontinued.

03.2023 – Update on REMIT Table 4 schema change (Gas transportation)

For end of Q1 ACER planed to public new GasCapacity V2 schema.

01.2023 – New ACER Validation Rules in the ARIS Test Environment

For end of Januar ACER planed to public new validation Rules in the ACER ARIS Test System. (ARIS Release 7.4)

Validation Rule: Reject Wrong Reporting of IndexName with REMITTable1_V3.

Validation Rule verify that:

      • indexNames in the Order and Trade List are indicated in the Contract, and
      • if there are more than one indexNames indicated in the Contract, each fixingIndex element in the Order and Trade List has a declared indexName

Later this Validation Rule will be enabled in the Production Environment.

11.2022 – New ACER Validation Rules for REMITTable1: totalNotionalContractQuantity

New validation rule to reject null values in totalNotionalContractQuantity in the TradeList of REMITTable1 V1 and V2: Rule 2BCDTNCQR2

If

    • TradeReport –> totalNotionalContractQuantity –> value is NOT defined OR
    • TradeReport –> totalNotionalContractQuantity –> unit is NOT defined

then the Trade is INVALID.


Error code: R2CDTNCQTR1

Error message: Trade must have Total Notional Contract Quantity defined


The rule maps a change in REMITTable1_V3 and will be implemented in November 2022 for V1 and V2 during the transition period for the introduction of V3.

10.2022 – Transaction record reported on behalf of another MP

When a transaction record is reported on behalf of another MP, the beneficiary of the contract is indicated in Table 1 Data field No (8) Beneficiary ID or in Table 2 Data field No (7) Beneficiary ID

09.2022 – REMITTable1_V3 – Version 3

REMIT Table1 Version 3 

REMIT RRM Portal: remitcloud.de

ACER REMIT Standard & Non-Standard Contract

Definition of Standard Contract

The REMIT Implementing Regulation imply that any contract admitted to trading at an organised market place is a standard contract.

Furthermore, if the same contract is traded outside the organised market place, this shall still be considered a standard contract.

When a contract for the delivery of gas or electricity at a specific delivery point or zone is not admitted to trading at an organised market place, but only bilaterally between the two parties, that contract should not be considered a standard contract

ACER Transaction Reporting User Manual (TRUM)
Version 5.1, 16.11.2022
Pages 20-21

Uncertainty about the specifications of a standard contract agreed bilaterally

The Agency understands that there might be some circumstances where market participants may not have full visibility to the specifications of the standard contracts traded on organised market places. Therefore, whenever two market participants enter into a bilateral contract agreed outside an organised market place and, despite the information provided by the public List of Standard Contracts available on the ACER website, they do not have the certainty that their contract is the same as the one traded on organised market places, it can be assumed that the bilaterally agreed contract normally entails some elements of customisation. These elements of customisation distinct the bilateral contract from contracts on wholesale energy products admitted to trading at an organised market place.

They may therefore report such a contract on a T+1 month basis and, where the contract has a defined price and quantity, with Table 1 of the Annex to the REMIT Implementing Regulation.

ACER Transaction Reporting User Manual (TRUM)
Version 5.1, 16.11.2022
Page 21

Details of transactions executed within the framework of non-standard contracts specifying at least an outright volume and price shall be reported using Table 1

Article 5(1) of the REMIT Implementing Regulation states that “details of transactions executed within the framework of non-standard contracts specifying at least an outright volume and price shall be reported using Table 1 of the Annex”.

This implies that even if the contract is considered a non-standard contract, but has an agreed price and quantity, the contract has to be reported using Table 1 of the REMIT Implementing Regulation. However, it is important to note that under the non-standard contract reporting requirements such a contract would be reportable no later than 30 days from its execution (even if reported in Table 1), and not within the time limit for standard contracts transactions for which the reporting shall take place no later than the following business day.

ACER Transaction Reporting User Manual (TRUM)
Version 5.1, 16.11.2022
TRUM Page 21

Clarification of standard vs non-standard contract

This guidance aims to clarify the Agency’s understanding of the difference between a standard
contract and a non-standard contract based on Article 2 of the REMIT Implementing Regulation :

    • ‘standard contract’ means a contract concerning a wholesale energy product admitted to trading at an organised market place, irrespective of whether or not the transaction actually takes place on that organised market place;
    • ‘non-standard contract’ means a contract concerning any contract on a wholesale
      energy product that is not a standard contract;

ACER rEMIT standard vs non-standard

(1) Trades not reported under EU financial legislations
(2) Contracts that are admitted to trade at organised market places but traded bilaterally

(3) Non-standard contracts with defined price and quantity (indicated as ‘BILCONTRACT’ in the transaction report under Contract Name in Data Field 22)    and   details of transactions executed within the framework of non-standard contracts specifying at least an outright volume and price (indicated as ‘EXECUTION’ in the transaction report under Contract Name in Data Field 22) 
shall be reported using Table 1 of the Annex to the REMIT Implementing Regulation.

ACER Transaction Reporting User Manual (TRUM)
Version 5.1, 16.11.2022
TRUM Page 22

Decision tree for the reporting of records of transactions related to standard and non-standard contracts and the use of Table 1 or Table 2

ACER REMIT Standard Non-Standard Contract

  • A –  is for products that are concluded bilaterally but are theoretically suitable for the exchange (organised market place) (e.g. supply contract for spot quantities, forward quantity: 30 MW base with the price 25 €/MWh).
    These products must be reported in the format “REMITTable1” by the following day (T+1) at the latest. 

  • B – is for bilateral products not eligible for exchange where price and quantity are known.
    These products can be reported in the “REMITTable1” format up to one month (T+30) after contract conclusion. 

  • C – is for bilateral contracts where either price, quantity or both are unknown (e.g. full supply contract, schedules, index products).
    These products can also be reported in the format “REMITTable2” up to one month (T+30) after conclusion of the contract.
    If price and quantity become known after the end of the month, an “Execution” message is to be created and sent at about the same time as invoicing. The “REMITTable1” format is used for the “Execution” message.
Clarification of outright volume and price and reporting frequency for transactions executed within the framework of non-standard contracts

Once the volume and the price of the transaction is known to the two market participants, the transaction
is complete. This can occur after the delivery of the commodity.

Details of transactions executed within the framework of non-standard contracts specifying at least an outright volume and price are available to both parties to the contract
by the invoicing date at the latest.

On that basis, executions under the framework of non-standard contract are reportable no later than 30 days after the invoicing date using Table 1.

Page 26-27

Lifecycle events

The REMIT transaction reporting lifecycle events via Table 1 and Table 2 include:
a) the submission of a bilateral contract, an order or a trade for the first time will be identified as “new”;
b) the submission of the modification of details of a previously reported record due to the business event or cause will be identified as “modify”;
c) the invalidation of a previously wrongly submitted bilateral contract, an order or a trade will be
identified as “error”; and
d) the submission of the early termination of an existing bilateral contract (e.g. an early termination of a contract) or trade (e.g. cancelation of the trade due to the novation), or cancellation of an order (e.g. permanent withdrawal of an order) due to the business event will be identified as “cancel”.

TRUM, page 32

ACER REMIT Rules

Contract for the delivery of LNG in EU

The key element of the geographical scope is that a delivery point of such electricity or natural gas must be in the EU.

On the contrary, contracts for the supply of electricity or natural gas produced/generated outside the EU but delivered within the EU borders will be under the scope of REMIT.

Example: Situation: Bilateral over-the-counter contract for the delivery of LNG at the OLT offshore LNG terminal of Toscana (Italy). 

The product is delivered in the EU – the LNG is delivered in EU territorial waters (Italian territorial waters – EU member state). It is not relevant for the qualification of the delivery as being in the EU if it is on an offshore or on onshore facility. As far as the contracts for the LNG supply are concerned, the Agency considers any delivery or offloading of LNG in any LNG facility (including flanges that connect the LNG vessel to the LNG terminal) as ‘delivery in the EU’ as long as the delivery of the product takes place in the EU.

Quelle: ACER_Guidance_on_REMIT_application_6th_Edition_Final.pdf (europa.eu), Page 20

LNG Reporting

Agency has indicated that where the gas is delivered at an LNG or a gas storage facility, then the EIC W code for that facility should be reported.
(FAQ, Question 2.1.42 )

The reporting of contracts for the supply of liquefied natural gas (LNG) should not be different than any other contract for the supply of natural gas. The only difference between a contract for the supply of natural gas at a balancing area and the contract for the supply of liquefied natural gas at the LNG terminal is the reporting of the delivery point. While market participants have to use EIC Y code for reporting the delivery of natural gas at balancing areas, EIC W code should be used when the delivery is in the LNG terminals.
(FAQ, Question 3.1.2)

Contracts for the supply of LNG before the entry flange of an EU LNG regasification terminal, for example an exchange of title on the high seas outside the EU, are not subject to transaction reporting.

Cargos traded under such contracts are subject to the reporting of fundamental data provided once the cargo is unloaded at an EU LNG regasification terminal.
If the cargo – once bought on the high seas outside the EU under this type of contract is re–traded by the buyer at or after the entry flange of an EU LNG regasification terminal, then the transaction related to the new contract will be subject to reporting.
(FAQ, Question 3.1.21)

The transportation contract from the regasification terminal to the gas terminal does not need to be reported. There are currently no requirements for the reporting of transportation contracts involving locations that are not balancing zones.
(FAQ, Question 4.2.20)

See also Questions 3.1.22 – 3.1.26, 3.1.49

Are Virtual Gas Storage contracts reportable under REMIT?
Insofar as virtual gas storage contracts are not contracts for the supply (or transportation) of natural gas, they are not reportable under REMIT.
However, contracts for the supply of natural gas within storage and LNG facilities are reportable contracts. For instance, when market participant A sells gas to market participant B within a storage or LNG facility, transferring the ownership of the gas, this is a reportable contract.
(Questions and Answers on REMIT, Question 1.1.8)

Are contracts for the supply of liquefied natural gas (LNG) with delivery in the Union covered by the scope of REMIT?
Contracts for the supply of LNG, where delivery is in the Union, are wholesale energy contracts pursuant to Article 2(4)(a) of REMIT.
(Questions and Answers on REMIT, III.3.34)

What constitutes delivery of LNG into the European Union?
As far as liquefied natural gas (LNG) contracts are concerned, the Agency considers any importation or offloading of liquefied natural gas in any LNG facility (including flanges that connect the LNG vessel to the LNG terminal) as ‘delivery in the Union’ as far as the delivery of the product takes place in the European Union.
In the situation described above, assuming the delivery of the liquefied natural gas is in the European Union, both parties to the contract will need to register with the relevant National Regulatory Authority/ies as the contract is reportable to the Agency.
Reload-contracts at a regasification terminal or at a vessel where the delivery of the product is not the European Union are not reportable.
(Questions and Answers on REMIT, III.3.36)

Are RRMs allowed to report fundamental data directly to ACER on behalf of market participants for “Unloading and Reloading of LNG” and for “Amount of gas stored”?
The market participants can delegate the reporting obligation to LSO/SSOs respectively or to any other registered RRM.
(Questions and Answers on REMIT, III.4.2)

Gas transportation contract for delivery of natural gas at the EU border

The concept of ‘transportation of electricity or natural gas’ in the EU shall be interpreted by NRAs as
including at least one bidding zone/delivery point located inside the EU:

    • all transportation of electricity or natural gas (including LNG) between bidding zones or specific
      delivery points that are (totally or partially) geographically located in the EU territory;
    • all transportation of electricity or natural gas (including LNG) from a bidding zone or point that is
      geographically located outside of the EU to a bidding zone or delivery point located (totally or
      partially) inside the EU; 

Example: Gas transportation contract for delivery of natural gas at the EU border

Situation: A market participant bought yearly firm transportation capacity of natural gas so that it
can import natural gas from Russia into the EU (the contract stipulates that the entry point is in a
Russian location and the delivery point is at the border between Ukraine and Slovakia).

Assessment: This contract is a wholesale energy product pursuant to Article 2(4)(c) of REMIT, as
it fulfils all relevant criteria:

    • It is related to that transportation in the EU – the delivery point of the natural gas to be
      transported is the border between Slovakia and Ukraine that is partially located in the EU
      (as Slovakia is the EU Member State while Ukraine is not).

ACER_Guidance_on_REMIT_application_6th_Edition_Final.pdf (europa.eu), Page 21

Who shall report?

In accordance with Article 8 of REMIT, market participants, or a person or authority on their behalf, shall provide the Agency with a record of wholesale energy market transactions, including orders to trade.


Reporting obligations cover:

a) market participants, which means any person, including transmission system operators, who enters into transactions, including orders to trade, in one or more energy markets. Entities entering into transactions via third parties (e.g. via a Direct Market Access service) are also considered market participants;
b) third parties acting on behalf of market participants (e.g. OMP members offering a Direct Market Access service);
c) trade reporting systems;
d) organised market places, trade matching systems or other persons professionally arranging transactions;
e) trade repositories registered or recognised under Regulation (EU) No 648/2012 (EMIR);
f) competent authorities which have received the information in accordance with Article 25(3) of Directive 2004/39/EC (MiFID) or ESMA when received in accordance with Regulation (EU) No 648/2012 (EMIR).

The Agency expects that market participants under REMIT may enter into transactions:
a. acting on their own account and on their own behalf (pure principal transaction – i.e. on the decision of the firm);
b. acting on their own account and on behalf of a client – i.e. on the order of other market participant; and/or
c. acting on the account and on behalf of a market participant (pure agency transaction)
d. acting on a third entity’s account and on their own behalf

ACER REMIT Basic Terms

ACER documentation & FAQs

ACER Documentation:

REMIT Reporting Guidance (www.acer.europa.eu)

ANNEX IV – Guidance on UTI (16/11/2022)

ACER Transaction Reporting User Manual (TRUM), Version 5.1, 16.11.2022

ACER Guidance on the application of Regulation (EU) No 1227/2011 of the European Parliament and of the Council of 25 October 2011 on wholesale energy market integrity and transparency, 6th Edition, 22.07.2021

ACER Frequently Asked Questions (FAQs) on REMIT Transaction Reporting, 14th Edition, 16.11.2022

Questions & Answers on REMIT, 27th Edition, 31 March 2022

REMIT Fee:

ElCom Reporting:

The concept of ‘market participant’

The Agency currently considers at least the following persons to be market participants under REMIT if entering into transactions, including orders to trade, in one or more wholesale energy markets:

    • Energy trading companies;
    • Producers of electricity or natural gas;
    • Shippers of natural gas;
    • Balance responsible entities;
    • Wholesale customers;
    • Final customers;
    • Transmission system operators (‘TSOs’);
    • Distribution system operators (‘DSOs’);
    • Storage system operators (‘SSOs’);
    • Storage system operators (‘SSOs’);
    • Investment firms.

Definition of ‘inside information’

The concept of ‘information’ under REMIT also encompasses information related to all planned or
unplanned changes(unavailability) in the capacity or output of any size at a facility of natural gas or electricity for:

    • production,
    • storage,
    • consumption,
    • transmission,
    • LNG (gas)

Pages: 31-32

“Inside information’ means

    • information of a precise nature,
    • which has not been made public,
    • which relates, directly or indirectly, to one or more wholesale energy products and
    • which, if it were made public, would be likely to significantly affect the prices of those wholesale energy products.”

Page 34

Disclosure of inside information

The Agency believes that, in order to achieve effective
disclosure according to Article 4 of REMIT, the information shall be disclosed using a platform for the disclosure of inside information (Inside Information Platform or IIP).

A simultaneous publication on the market participant’s website or through social media may be used as an additional source for publication. However, it cannot replace the disclosure on Inside Information Platforms.

Pages 44-45

List of accepted EICs

List

Acronyms

MMBtu
1 Million British Thermal Units – A thermal unit of measurement for Natural Gas. Thermal units are distinct from pure volumetric units in that they assume a certain energy content of the gas. Gas that is more liquids-rich, may have a higher Btu content within the same volume as dry gas.