ACER Registration Code
ACER Registration Code within the REMIT Regulation compliance system is a numerical (alphanumeric, 12 values, example: 1234567890ab) wholesale energy market participant unique identifier assigned by the European Agency for the Cooperation of Energy Regulators (ACER) during the market participant registration process with the EU Member State National Energy Regulator (NRA).
ACER Registration Code is used for REMIT transactions and orders reporting purposes. It is also necessary in the process of the application for the EIC Code (The Energy Identification Coding Scheme (EIC) Reference Manual, ENTSO-E, 2016.02.15, p. 10).
Considering the variety of identifiers used, like for example:
- Bank Identifier Code (BIC),
- Global Location Number (GLN/GS1);
it is important to note, only registration of market participant with the relevant NRA will result in an ACER code assignment.
REMIT Implementing Regulation No 1348/2014
When reporting information referred in Articles 6, 8 and 9 including inside information, the market participant shall identify itself or shall be identified by the third party reporting on its behalf using the ACER registration code which the market participant received or the unique market participant code which the market participant provided while registering in accordance with Article 9 of Regulation (EU) No 1227/2011.
According to the ACER's Trade Reporting User Manual (TRUM), from the Agency's perspective the ACER code is the "preference", nevertheless, all the other above codes may also be used (if these other codes were included in the registration information submitted by the market participant to CEREMP).
The specific, but, as practice may prove, default scenario may occur in the situation where an organised market place (OMP) is reporting on behalf of the market participant.
In this case the ACER code may not be known (note that contracts concluded outside an organised market place represent the only instance where trade data are to be reported by market participants themselves).
If the ACER code has not been provided by the market participant to the organised market place reporting on behalf of the market participant, ACER indicates one of the alternative codes listed above should be used, otherwise the report will be rejected as invalid.
ACER's Frequently Asked Questions (FAQs) on REMIT transactions reporting
How should we populate field (4) "ID of the other market participant or counterparty" in a bilateral transaction when the other counterparty to the contract may not be a REMIT market participant, a REMIT market participant not registered with any NRA yet or a non-EU market player?
As indicated in Annex III to the TRUM, under "Wholesale Energy Markets: physical vs financial markets" section on page 1, there are circumstances where market players trading wholesale energy products may not be REMIT market participants.
When a market player is a REMIT market participant and enters into a bilateral transaction (e.g. a financial swap related to gas delivered in the EU) with a non-REMIT market participant (a firm that only trades OTC bilateral financial products related to the EU gas or electricity and never enters into a physical trade), the REMIT market participant may need to populate field (4) with a code to indicate that the counterparty to the trade is not a REMIT market participant.
If this is the case market participants reporting bilateral trades concluded with non-REMIT market participants should report a fictitious ACER code as follows:
ACERNONMP.EU – when the reporting party knows that the counterparty is a non-REMIT market participant
Please note that the above is only valid for field (4) "ID of the other market participant or counterparty".
As regards the LEI code, TRUM observes that if a market participant is already using the LEI for EMIR reporting that market participant could use the LEI code also for REMIT reporting.
If market participants prefer the LEI because it is already used for EMIR, they are free to use it as long as the LEI has been provided to the NRAs in the registration process.
If a market participant is using an ACER Registration Code, the market participant/counterparty will be able to verify the identity of the other market participant from the European register of market participants published by the ACER and available at the ACER's website.
It is also useful to note, the ID of the other market participant or counterparty to the transaction needs to be reported only when reporting bilateral trades, including those bilateral trades that take place on broker platforms.
If, in turn, the trade takes place on an energy exchange and the other counterparty is a CCP, clearing house or a clearing member, the relevant field of the reporting form be left blank.
ACER's Questions & Answers on REMIT explain how market participants that play several roles (e.g. a TSO that has also a capacity trading platform) should be identified and whether it is allowed that one organisation has several ACER codes.
The ACER’ stance in this regard is the ACER code does not distinguish by roles, but aims at uniquely identifying market participants. Consequently, market participant with several roles will still be identified by one unique ACER code.
Interestingly, the ACER envisions situations where reporting for bilateral trades is made with the use of a fictitious ACER Code.
This case relates to trades concluded with non-REMIT market participants, REMIT market participant not registered with any NRA yet or a non-EU market players.
Such a designation takes the form of "ACERNONMP.EU" (see box).
If, however, a market participant designated with the trade report with "ACERNONMP.EU" subsequently registers with the competent NRA and informs the counterparty of its ACER code (or any other reportable code) there is a requirement to send a modification report to update the code in previous reports.
ACER Code is populated in field 121 of the REMIT Registration Format.
It is noteworthy, in the document titled: Functioning and Usefulness of the European Register of Market Participants, ACER's Public Consultation Paper PC_2016_R_01, 18 March 2016 the ACER stressed the need to ensure the traceability of relevant changes in the registration records.
Consequently, it has been proposed to supplement, in addition to field 121 (ACER code'), two new fields to the REMIT Registration Format:
- one indicating previously used ACER codes; and
- another identifying the relationship with the previous codes.
The identification of the relationship between ACER codes could be provided by selecting the following types:
- same person previously registered in another Member State;
- incorporation of a registered market participant;
- spin-off from a registered market participant;
Indeed, the implementation of the above improvement could have a merit for the proper identification of wholesale energy market participants and ensuing transformations.
Frequently Asked Questions (FAQs) on REMIT transaction reporting
Frequently Asked Questions (FAQs) on REMIT transaction reporting – II.2.6 Questions related to bilateral trades Question 2.6.1
The question asks how to report where one of the market participants may be not a REMIT market participant.
The answer recommends that a generic ACER Code ACERNONMP.EU is used so that the obligation to report can be fulfilled.
Market Participant A reports a transaction with Market Participant B who is not registered with any National Regulatory Authority (NRA) and does not have an ACER code and hence is identified using ACERNONMP.EU. A month later Market Participant B is registered with an NRA and get their ACER code and uses this for reporting all transaction post receipt of the ACER code. All previous transactions reported still identify Market Participant B with the generic ACER code ACERNONMP.EU.
Market participant (MP) (A) reports a transaction with MP (B) which is identified using ACERNONMP.EU in MP (A)'s report. A month later when MP (B) is registered with the competent NRA and informs MP (A) of its ACER code (or any other reportable code) will be able to report all its transaction post registration with the NRA.
Because previously reported transactions by MP (A) still identify MP (B) with the generic ACER code (ACERNONMP.EU), MP (A) should send a modification report to update the code of MP (B) in MP (A)'s reports.
MP (B) will only be able to report transactions identifying itself in Field 1 (ID of the market participant or counterparty) once it has been registered with the National Regulatory Authority (NRA). At that point MP (B) will be able to report all its transactions (past and future transactions) identifying itself in Field 1.
Nevertheless, ACER specifically explained on 20 July 2018 in the update to Frequently Asked Questions (FAQs) on REMIT transaction reporting (Question 1.1.33) that the change of the ACER code for the purposes of the REMIT transaction reporting is a case of novation.