The Dodd–Frank Act's Consequences for the Energy Industry

The stated purpose of Dodd–Frank is to reduce systemic risk, increase transparency of the financial markets, and promote market integrity. Most likely, Dodd–Frank will affect energy companies in connection with their energy marketing, hedging, and trading activities – in other words, in connection with energy “swaps.” The consequences will range up and down a sliding scale depending on a particular firm's activities and the outcome of a federal rulemaking process still many months from completion.