SWEDEN: Know Your Customer Requirements for Energy Companies

The Swedish Energy Agency has introduced new know-your-customer (KYC) requirements for energy companies operating in Sweden, effective immediately. These regulations aim to enhance transparency and prevent money laundering in the energy market.

Compliance with EU Directive 2015/849

As part of the Association of Issuing Bodies, the Swedish Energy Agency is bound by EU Directive 2015/849 and “Know your customer” regulations and requirements. To comply with these rules, energy companies are required to provide detailed information about their business operations, ownership structure, and trading activities.

New KYC Questionnaire

A new KYC questionnaire has been made available to all Association of Issuing Bodies members. The questionnaire requires companies to disclose the following information:

• Company Information:
  • Company name
  • Registration number
  • Address
• Organization Structure and Ownership:
  • Organization structure
  • Ownership details
• Business Activity and Trading Volume:
  • Business activity
  • Trading volume
• Trading Systems and Facilities Used:
  • Trading systems used
  • Facilities used
• Trader Expertise and Experience:
  • Trader expertise
  • Trader experience
• Compliance Measures in Place:
  • Compliance measures taken

Supporting Documents Required

Companies are also required to provide supporting documents, such as:

• Audited annual reports
• Business plans
• Copies of passports or ID documents for authorized signatories

Importance of Accurate Information

The Swedish Energy Agency has emphasized that companies must answer all questions truthfully and accurately, and agree to provide any additional information requested by the agency in the future. Failure to comply with these requirements may result in the agency declining an application or taking other regulatory action.

Benefits of Enhanced Transparency

The new KYC regulations are seen as a crucial step towards enhancing transparency and integrity in the energy market, and will help to prevent money laundering and other financial crimes. Energy companies operating in Sweden are advised to review the new questionnaire carefully and provide complete and accurate information to avoid any potential issues with their applications.

Conclusion

Energy companies operating in Sweden must comply with the new KYC requirements to ensure transparency and integrity in the energy market. The Swedish Energy Agency is committed to preventing money laundering and other financial crimes, and these regulations will help achieve this goal.