Regulators can't find evidence of energy price manipulation

7 November 2013

Energy Regulators have said that they've not been able to find any evidence of gas market manipulation despite loud claims that traders were fixing prices.

In a joint statement, Ofgem and the Financial Conduct Authority (FCA) said: "It has been concluded that no evidence of the alleged market manipulation could be found and therefore that the interests of consumers have not been harmed."

This all came about after independent energy pricing house ICIS Heren stated that "traders submitted erroneous bids and offers to skew the end-of-day price of a key gas contract."

Ofgem said they'd looked into the allegations but said they were satisfied with evidence provided to them explained that market movements and transactions were not improper. "These explanations are credible and no evidence was found which disputes the explanations provided," Ofgem said. "In light of this, it is considered that no further action is required in connection with the allegations relating to 28 September, 2012."

It wasn't too long ago that a number of banks were involved in a price fixing scandal, to which some huge fines are being handed out. The European Commission is also still investigating individuals at a number of firms for potential oil market abuse, with Shell, BP, Platts and Norway's Statoil having their offices raided by the EC.

Something tells us this isn't over.

TOPICS:   Utilities   Motoring   Economy

4 comments

  • andyofyarm
    So Mof,what evidence have you uncovered to challenge the regulators conclusion? I suspect your investigative journo role began and ended with another unthrilling cut and paste job.
  • klingelton
    ^ lol
  • samuri
    What the hell does Mof know anyway he cant tell an Alpaca from a Llama
  • fibbingarchie
    “traders submitted erroneous bids and offers to skew the end-of-day price of a key gas contract.” It's called spoofing and it's impossible to evidence. Submitting and withdrawing orders on which you have no interest in being filled can be easliy explained with apparently genuine sounding reasons.

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