REMIT is Regulation (EU) No 1227/2011 of the European Parliament and of the Council on wholesale energy market integrity and transparency. The Regulation was published on 8 December 2011 in the Official Journal of the European Union and entered into force 20 days following the publication, i.e. on 28 December 2011. The Regulation puts in place a consistent framework for the entire EU for the first time:
- It defines market abuse in the form of actual market manipulation and attempts to manipulate the market and insider trading on wholesale energy markets.
- It lays down an express prohibition of market abuse on wholesale energy markets.
- It puts in place a new framework for monitoring wholesale energy markets to detect and prevent market abuse.
- It provides for the enforcement of prohibitions and the penalisation for breaches of the market abuse rules on the domestic level.
REMIT prohibits market manipulation and insider trading based on inside information in wholesale energy markets and requires market participants to publish inside information. REMIT has a bearing on everyone who participates in or whose behaviour is influenced by wholesale energy markets.
The fundamental role of the Energy Regulatory Office in the domain of REMIT is, primarily, to set up a national register of market participants, to cooperate with the Agency for Cooperation of Energy Regulators (ACER) and other national regulatory authorities in the monitoring of wholesale energy markets and, in particular, to exercise its powers of investigation, enforcement and penalisation in the case of breaches of REMIT in respect of market participants.