Energy trade associations, including the Edison Electric Institute (EEI) and the Electric Power Supply Association (EPSA) have urged that the Commodity Futures Trading Commission (CFTC) delay the compliance date for revised ‘swaps’ regulation reporting requirements until the end of November.
The American Gas Association (AGA) is also among the energy groups calling for CFTC to defer the compliance date for recently-published amendments to the Part 43 reporting requirements until at least Nov. 30.
The delay is needed in order to give all market participants and Swap Data Repositories (SDRs) appropriate time to implement and fully test the new reporting metrics, the groups said Aug. 8.
These energy trade group members are physical commodity market participants that rely on commodity swaps, futures, and options primarily to hedge and mitigate commercial risk, particularly commodity price volatility.
Under the Dodd-Frank Wall Street Reform and Consumer Protection Act, the CFTC has embarked on a fundamental, far-reaching and complex restructuring of the entire regulatory regime applicable to the financial and physical commodities markets, the energy groups said in a letter to the regulator.
“As part of the new regulatory landscape implementing the Dodd-Frank Act, the Commission has required more extensive reporting on swap transactions and has increased the amount of information to be made publicly available. This includes the May 31, 2013 Final Rule, that imposes new requirements and significantly expands the scope of transactions and information required to be reported on a real-time basis under the Part 43 rules,” according to the energy groups.