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Home > Public Policy > Issue Spotlight > Co-op Chief Testifies on Regulation of OTC Derivatives Market

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Co-op Chief Testifies on Regulation of OTC Derivatives Market

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Testimony of Glenn English, CEO, NRECA

 

September 17, 2009 - In testimony before the United States House of Representatives Committee on Agriculture, English urged lawmakers to ensure that the over-the-counter derivatives market remains affordable and warned that expensive new proposals by the U.S. Treasury Department could make hedging for risk untenable for many electric cooperatives, forcing them to come up with hundreds of millions of dollars in cash that they just do not have on hand and ultimately increasing costs to consumers. “Rural electric co-ops just hope that at the end of the day, there is a way for the little guy to effectively manage risk,” he said.

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