Energy Markets Improvement Act of 2005

The Energy Markets Improvement Act of 2005 (S. 509) was designed to increase transparency and prevent price manipulation within the energy industry. The bill would have required the creation of a public electronic information system to track energy prices and would have established strict federal prohibitions against deceptive trading practices, such as "round trip" trades intended to artificially inflate market activity.

For the average citizen, these measures were intended to ensure that electricity and natural gas prices were determined by actual supply and demand rather than market interference. By granting federal regulators more power to penalize fraudulent behavior and oversee over-the-counter energy trades, the bill aimed to protect consumers from the types of market volatility and price spikes that can lead to higher monthly utility bills.