Court Upheld OFAS Decision on LUKOIL-Rostovenergo & LUKOIL-TTK
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.