Clause 13.2A(1) of the Code requires participants to disclose wholesale market information, unless one of the exclusions in Clause 13.2A(2) applies.
The Authority would like to remind participants of their obligation to make disclosure information available when they become aware of it. ‘Disclosure information’ is information that could have a material impact on prices in the wholesale market, that is about the participant and held by them.
Clause 13.2A of the Code requires disclosure information to be made available to the public free of charge, as soon as reasonably practical after a participant becomes aware of it. This creates a ‘continuous disclosure’ obligation for participants for information relevant to the wholesale electricity markets.
The Code also provides that in some circumstances information need not be disclosed straight away, but must still be released as soon as those exceptions expire. And participants must satisfy the Authority that they had good reason not to disclose information earlier.
Access to high quality wholesale market information by a wide range of participants is important to electricity markets generally, and to electricity futures markets in particular. Free-flowing information is a key element in facilitating competition and effective market performance.
Effective information disclosure can help eliminate information asymmetry between informed and uninformed market participants, which would otherwise lead to inefficient market outcomes. Effective information disclosure can also reduce risk and uncertainty.
To make efficient decisions, participants need good information about factors that can affect the market, both now and in the future. A lack of this information will increase risk and uncertainty, which can lead to poorer decisions.
To help participants better understand, and comply with, their obligations under the information disclosure provisions, the Authority has published guidelines which can be found below.
Clause 13.2 Disclosure Guidelines
We would also remind participants that the Electricity Industry (Enforcement) Regulations 2010 require participants to report alleged breaches of the Code to the Authority. Any person who believes an industry participant has breached the Code must report the alleged breach as soon as possible.
The process for reporting breaches is explained on the How to allege a code breach page.
To assist participants with decisions relating to disclosure, the Authority has prepared guidelines which can be found below.