Unveiling Market Manipulation in Eu Energy Markets - Insights from Acer Enforcement Cases

Market manipulation poses significant challenges to the integrity and transparency of EU wholesale energy markets. This paper examines REMIT enforcement decisions published by the European Union Agency for the Cooperation of Energy Regulators (ACER), identifying key trends, manipulation tactics, and regulatory responses. By analysing publicly available ACER enforcement cases, this study provides insights into the most common market abuse practices, including capacity withholding, wash trades, and cross-border manipulation, as well as disparities in enforcement activity across Member States. The findings highlight the growing role of fines in deterring market abuse, with 2024 recording a € 73 million penalty-the highest to date. With the introduction of REMIT II, regulatory enforcement is expected to intensify, introducing stricter reporting obligations, broader market coverage, and enhanced investigative powers for ACER. This paper contributes to energy market regulation literature by providing a comprehensive review of REMIT enforcement cases and recommending measures to strengthen market integrity. The findings serve as a resource for policymakers, regulators, and market participants seeking to enhance transparency, detect manipulation more effectively, and ensure a competitive energy market.