AALBORG: The municipally owned Nordjyllandsværket has accepted a fine of 400,000 kroner for insider trading in electricity.
This is clear after a hearing on Monday afternoon in the Court in Aalborg, where the case has been reopened. The case goes back to December 2018, when the plant had an operational stoppage. This meant that it could not deliver the promised amount of electricity.
At the same time, the North Jutland power plant purchased electricity from the European market. If the market had known that Nordjyllandsværket had been put out of action, it could have affected electricity prices, according to the indictment.
The utility has argued that it was a mistake, but has agreed to pay the fine.
The Danish Electricity Authority reported the utility to the police in April 2023.
- When a market participant gains access to information that may have a significant impact on price formation in the market, the participant is obliged to publish the information in question before the participant possibly acts on it.
- We have a reasonable suspicion that this has not happened in this case, which is why we have now reported the company to the police, said Director of the Danish Electricity Authority Carsten Smidt in a press release.
Settles despite disagreements
Although Nordjyllandsværket has acknowledged having broken the rules, it disagrees that the plant's actions may have influenced price formation on the electricity market.
- We fundamentally disagree with the Danish Electricity Supply Authority's approach to the incident and assessment of the market impact, but from an economic and business perspective we have chosen to reach a settlement.
- The case has been ongoing since 2018, and we believe that the most sensible thing is not to spend more resources on it, but instead to put an end to the case, says Director of Aalborg Forsyning Søren Gais Kjeldsen in a press release.
Nordjyllandsværket is part of Aalborg Forsyning.
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