To submit bids/offers into the energy markets, the Electricity Market Participant may – jointly or separately - post a guarantee in the form of a first-demand bank guarantee (meeting the requirements indicated in the Integrated Text of the Electricity Market Rules) or in the form of a non-interest-bearing cash deposit.

As per art. 10, para. 3 of the Decree of the Ministry of Economic Development of 29 Apr. 2009 and art. 89.2, para. 89.2 of the Integrated Text of the Electricity Market Rules, we inform you that the maximum amount of own funds allocated every year to cover the payables of the defaulting Market Participants or the default of the institution issuing the bank guarantee has been determined to be equal to € 2.5 million.

If the own funds used by GME as per para. 89.2 of the Integrated Text of the Electricity Market Rules (determined as indicated above) are not sufficient to cover the payables of the defaulting Market Participants or the default of the institution issuing the bank guarantee, GME shall – for the uncovered part – resort to the risk pooling mechanism, as established by AEEG in its Decisions of 28 September 2009 – ARG/elt 138/09, as supplemented by Decision ARG/elt 142/09 of 2 October 2009.

Bank guarantees for participating in the MPE, MTE-CDE and PCE

- the bank guarantee must conform to the format of Annex 3 to the Integrated Text of the Electricity Market Rules (hereafter “Electricity Market Rules”);

- the updating of the amounts of an already existing bank guarantee must me made by sending a letter updating the bank guarantee in the format of Annex 4 to the Electricity Market Rules;

Bank guarantees for participating in the MPE

- the bank guarantee must conform to the format of Annex 5 or – alternatively or cumulatively - of Annex 3 to the Electricity Market Rules;

- in the case of a bank guarantee posted in the format of Annex 5, the updating of the amounts and/or of the period of validity of the already existing bank guarantee must be made by sending a letter updating the bank guarantee in the format of Annex 6 to the Electricity Market Rules;

- in the case of a bank guarantee posted in the format of Annex 3, the updating of the amounts of the already existing bank guarantee must be made by sending a letter updating the bank guarantee in the format of Annex 4 to the Electricity Market Rules.

Bank guarantees for participating in the MPE and PCE

- the bank guarantee must conform to the format of Annex 7 or – alternatively or cumulatively – of Annex 3 to the Electricity Market Rules;

- in the case of a bank guarantee posted in the format of Annex 7, the updating of the amounts and/or of the period of validity of the already existing bank guarantee must be made by sending a letter updating the bank guarantee in the format of Annex 8 to the Electricity Market Rules;

- in the case of a bank guarantee posted in the format of Annex 3, the updating of the amounts of the already existing bank guarantee must be made by sending a letter updating the bank guarantee in the format of Annex 4 to the Electricity Market Rules.

The bank guarantee, the form modifying the bank guarantee or the related updating letters must be submitted or sent (where possible by registered letter with return receipt or courier) only to the bank in charge of GME's treasury services. Upon receipt, the bank will place a stamp on the document with the time/date of receipt, which will become the “date of submission”.

Non-interest bearing cash deposits 

The cash deposits must be made into the following bank account:

Banca Popolare di Sondrio
ABI 05696
CAB 03211
CONTO 000007220X46
CIN H
BBAN H 05696 03211 000007220X46
IBAN IT97 H056 9603 2110 0000 7220 X46
SWIFT CODE POSOIT22

The reason to be indicated for the payment is:

"deposito cauzionale infruttifero con facoltà il GME di poterne disporre"

(non-interest-bearing guarantee deposit with GME's option to use it) 

Allocation of financial guarantees 

Allocation of the amount of bank guarantees

- the Market Participant that has posted a bank guarantee in favour of GME, in the format of Annex 7 to the Electricity Market Rules, may allocate part of such guarantee to cover financial obligations in the MGP, MI and PCE, by submitting the allocation of financial guarantee MPE - PCE form to GME as indicated in the Technical Rules (Technical Rule no. 04 rev2 ME; Technical Rule no. 10 rev2 PCE);

Allocation of the amount of guarantees posted in the form of a non-interest-bearing cash deposit

The Market Participant may allocate part of the guarantee to cover financial obligations arising both in the MGP and MI and in the MTE-CDE and/or PCE (in the latter case, if the Market Participant is at the same time a PCE Participant), by submitting the allocation of financial guarantee MPE - MTE/CDE - PCE form or the allocation of financial guarantee MPE - PCE form as indicated in the Technical Rules (Technical Rule no. 04 rev2 ME; Technical Rule no. 10 rev2 PCE), specifying the allocation of the deposit.

Transitional system 

Bank guarantees posted in the formats in force until 31 October 2009 

The Market Participant that has posted a bank guarantee in favour of GME in the format of Annex 3 to the Integrated Text of the Electricity Market Rules, in force until 31 October 2009, may continue to use such guarantee (as per art. 138, para. 138.2 of the Integrated Text of the Electricity Market Rules) only for submitting adequate bids/offers into the MPE. The updating of the amounts and/or of the period of validity of such guarantee must be made by submitting a letter updating the bank guarantee in the format of Annex 6 to the Integrated Text of the Electricity Market Rules, after having submitted the modification of bank guarantee MPE form to the bank in charge of GME’s treasury services.

The Market Participant that has posted a bank guarantee in favour of GME in the format of Annex 5 to the Integrated Text of the Electricity Market Rules, in force until 31 October 2009, may continue to use such guarantee (as per art. 138, para. 138.2 of the Integrated Text of the Electricity Market Rules) only for submitting adequate bids/offers into the MPE or requests for registration onto the PCE. The updating of the amounts and/or of the period of validity of such guarantee must be made by submitting a letter updating the bank guarantee in the format of Annex 8 to the Integrated Text of the Electricity Market Rules, after having submitted the modification of bank guarantee MPE - PCE form to the bank in charge of GME’s treasury services.

The Market Participant that has modified the bank guarantee to conform to art. 138, para. 138.2 of the Integrated Text of the Electricity Market Rules may allocate part of such guarantee to cover financial obligations arising on the PCE, by submitting the allocation of financial guarantee MPE - PCE form to GME as indicated in the Technical Rules (Technical Rule no. 04 rev2 ME; Technical Rule no. 10 rev 2 PCE). If, instead, the Market Participant has not modified the bank guarantee to conform to art. 138, para. 138.2 of the Integrated Text of the Electricity Market Rules, he/she may allocate part of the guarantee to cover financial obligations on the PCE, by submitting the allocation of financial guarantee MPE - PCE before 31 October 2009 form (until the expiration of the period of validity and effect thereof) to GME.