Consumer access to energy that is reliable, affordable and environmentally-sound is dependent on well-functioning, competitive energy markets for natural gas.
This page explores the different kinds of natural gas and energy markets and key issues and regulatory bodies that influence them.
Policy Issues
Financial reform legislation enacted into law in 2010 was primarily intended to target banks, mortgage lenders and credit rating agencies, but some of the provisions related to commodity markets also affected the marketing and trading of natural gas. NGSA has advocated at the CFTC since the law’s enactment in order to ensure that the Commission’s implementation of Dodd-Frank preserves liquidity and competition and risk management tools effectively while setting appropriate position limits, capital requirements and related definitions.
The most recent filings, press releases and reports related to these issues are listed below:
- NGSA Comments on CFTC Position Limits Proposal (May 2020)
- NGSA-NCGA Joint Comments – Non-bank Swap Dealer Capital Requirements (March 2020)
- NGSA Commends CFTC for Advancing Position Limits Proposal (January 2020)
- NGSA Cautions CFTC on Risk to Innovation from Capital Investment Policies (November 2019)
- NGSA Comments: SDR Requirements Impact the Market (July 2019)
Please visit our “Resources” pages and use the search terms or tag functions for a complete list.
Market participants may choose to report their natural gas transactions to price publishers. Transactions may occur at a fixed price, at an index derived from published prices or at a hybrid of the two. Price indices facilitate informed decision-making in the market and are one of many tools contributing to natural gas market transparency. Independent corporate assessments of underlying fundamentals remain at the heart of natural gas transaction decisions. Due to the exceptional transparency of the natural gas market, participants have vast, almost real-time information on which to base sound transaction decisions.
- NGSA Affirms Continued Market Participant Confidence in Indices and Underlying Market Fundamentals in Comments to FERC (August 2017)
- NGSA Reaffirms Confidence in Market Indices and Voluntary Price Reporting, Calls for More Meaningful ‘Safe Harbor’ at FERC Technical Conference (June 2017)
- NGSA Comments: FERC Price Formation in Regional Power Markets ( November 2015)
Backgrounders explaining the structure of the natural gas market and the role that producers and marketers play in supplying natural gas to customers efficiently and competitively.
Read NGSA’s most recent outlooks for supply, demand, storage and pressure on natural gas prices here.