3/10/2024

MIBGAS has been approved by the National Securities Market Commission (CNMV) as a Benchmark Administrator under Regulation (EU) 2016/1011. This European Regulation aims to establish a common framework to ensure the accuracy and integrity of the indices used as benchmarks in financial instruments and financial contracts.

MIBGAS publishes daily, its LPI (MIBGAS Last Price Index Day Ahead) and API (MIBGAS Average Price Index Day Ahead) for both Spain and Portugal. It also publishes daily prices that are regularly used by brokers and entities in financial futures contracts on the Spanish virtual gas balancing point (PVB) and Portuguese virtual trading point (VTP). It has additionally created a dedicated section on its public website for these indices.

These price indices qualify as financial benchmarks under Regulation (EU) 2016/1011 for two main reasons: (1) as they are regulated data and commodity indices, and (2) due to their potential use in financial instruments by other entities. As a gas market operator, MIBGAS, therefore decided last April to initiate the process of registering as an index administrator with the CNMV, a process which culminated in the regulator's approval and authorisation.

The Regulation obliges administrators to register with the competent authority; comply with governance requirements; prevent and manage conflicts of interest through a monitoring and control function, an accountability system, record keeping and complaints handling; apply provisions on calculation data; define the methodology used in accordance with certain requirements; and comply with transparency rules.

In short, this authorisation accredits MIBGAS as a Benchmark Administrator, as the entity under whose control and responsibility the benchmark indices for the Iberian gas market are prepared.

Accordingly, MIBGAS now appears as a benchmark administrator on the websites of the CNMV and the European Securities and Markets Authority (ESMA).