Market participants worry for European energy liquidity

Banks, energy firms and regulators express concern about impact of regulation

Jonathan Whitehead, SG CIB

The prospect of new financial regulation hurting liquidity in the European Union energy market was high on the agenda at Energy Risk Summit Europe, with several speakers giving dire warnings about the consequences of the second Markets in Financial Instruments Directive (Mifid II), in particular.

Jonathan Whitehead, global head of commodities at Societe Generale Corporate and Investment Banking, said financial regulators are trying to increase transparency in energy markets, but that some of the