OREANDA-NEWS. October 07, 2009. The Federal Antimonopoly Service (FAS Russia) terminated a case against "Uralsevergaz" CJSC, initiated to investigate the elements of violating Part 1 Article 10 of the Federal Law "On Protection of Competition", in terms of fixing economically and technologically unjustified different prices for the same goods (abusing dominant position), reported the press-centre of FAS Russia.

The case was initiated upon a petition of the "First Generating Company of the Wholesale Electric Power Market [Pervaya Generiruyuschaya Kompania Optovogo Rynka Elektricheskoi Energii]" OJSC ("ОGК-1" OJSC) of 27th March 2009 about the actions of the supplier of natural gas. According to "ОGК-1" OJSC, "Uralsevergaz" CJSC applied economically and technologically unjustified discounts to the gas prices, and fixing such discounts violated the antimonopoly legislation.

"Uralsevergaz" CJSC has more than 65% share of the market for sale of natural gas share within the geographic boundaries of the Sverdlovsk region. The company is an independent supplier that sets regulated tariffs for the population and contract tariffs for other buyers, including "ОGК-1" OJSC.

Due to the customary practice on the gas-supplies market in the Russian Federation, "Uralsevergaz" CJSC, being an independent supplier, fixes the level of prices for gas, in connection with the price coefficients, determined by the Federal Tariff Service (FTS Russia). The value of coefficients is determined on the basis of the general price level in the market, including the electronic trading site.

FAS Russia established that as part of its contract campaign, "Uralsevergaz" CJSC was offering discounts to the gas prices for all its customers depending on the period of payment for the sheduled volume of gas by the buyer.

Currently "Uralsevergaz" CJSC is also applying its discount systems equally to all its counteragents. Due to the adverse consequences of the financial crisis, "Uralsevergaz" CJSC is trying to encourage advance payment for gas by the customers and is increasing the discounts for the customers that work under the advance payment scheme. The consumer itself can seek such gas discounts.

Having studied all case materials, FAS Russia found that "Uralsevergaz" CJSC committed no antimonopoly violations.

Reference:
In 2008, FAS Russia initiated 1639 cases under Article 10 of the Federal Law "On Protection of Competition", or 25.1% of all cases on violations of the antimonopoly legislation.