OREANDA-NEWS. March 20, 2013. The Federal Arbitration Court of the North-Caucasus District upheld the decision of Rostov OFAS Russia regarding LUKOIL-Rostovenergo Ltd. and LUKOIL-TTK Ltd.

In February 2010 Zapadny Housing Association and LUKOIL-Rostovenergo Ltd. concluded an energy supply contract, under which the energy supplier had the right to terminate water and heat energy supplies in case of arrears.

The Rules for Providing Utility Services for the Population specify that water and heat energy must be supplied continuously in the necessary volume to the persons using utility services for personal goals and other needs not related to entrepreneurial activities.

Also Zapadny Housing Association is included in the category of customers that is not covered by the payment rules for the consumed heat energy using advance payments.

The Commission of Rostov OFAS Russia established that contract clauses proposed by LUKOIL-Rostovenergo Ltd. were in breach of the Federal Law On Protection of Competition (Article 10).

LUKOIL-Rostovenergo Ltd. and LUKOIL-TTK Ltd. disagreed with the decision of Rostov OFAS Russia and challenged it at Court of Law. However, the Federal Arbitration Court of the North-Caucasus District dismissed the claim.