Coops Gain Exemption From CFTC Regulations
The Commodity Futures Trading Commission (CFTC) voted unanimously on March 28 to exempt electric coops from certain regulations under the financial reform laws. Specifically, certain non-financial energy derivative transactions between and among coops and municipal utilities, federal power agencies, federal entities with electric assets, and Indian tribes will be exempt from most of the requirements of the Commodity Exchange Act. However, financially settled swaps done for speculative purposes between these entities would not be exempt. For more information, click here.