Analyzing Counterparty Trading and Sanctions Risk in the Energy Sector

Employees of energy and commodities trading firms say* that de-centralized or siloed data is the biggest challenge they face when onboarding counterparties and suppliers, closely followed by an ever-evolving sanctions landscape.

The energy and commodities sector is currently in an era which is defined by complex geopolitical conflicts and stringent regulatory requirements, a set of circumstances that are only aggravating these challenges and making onboarding and due diligence processes less efficient.

This report features insights from the following industry experts:  

• António Pedro Rodrigues – Head of Compliance, Galp Energia
• Paul Iezzi – EMEA Channel Partner Manager, LSEG Risk Intelligence
• Rawad Halawi – Partner, Financial Advisory, Deloitte
• Rory Doyle – Head of Financial Crime Policy, Fenergo
• Howard Walper – CEO Americas, Commodities People 

In this report, we analyze the risks associated with counterparties, trading, and sanctions in the energy sector. We also recap the on-the-ground insights and advice issued by our expert panel members from our webinar with Commodities People.

The webinar, “Know Your Counterparty: Energy Trading and Sanctions Risk,” provided a crucial platform for discussion among leading experts in the fields of compliance, financial crime, and sanctions. 

The webinar recording can be accessed on-demand here.

Key themes covered include:

• How geopolitical complexities and PEPs are influencing firms’ risk management strategy
• Where technology such as automation can benefit due diligence processes, data, and checks
• The necessity of clear and configurable documentation processes when onboarding counterparties
• Implementing an appropriate risk-based approach to avoid sanctions breaches while operating in energy and commodities markets

How Fenergo Helps Energy & Commodities Firms

Digitalize the end-to-end onboarding and Know Your Counterparty process for counterparties throughout the entire lifecycle. Simplify and automate due diligence with pre-packaged Know Your Counterparty rules and workflows, ensuring effective counterparty due diligence and regulatory compliance.

*Results taken from a poll run during a Fenergo webinar in May 2024