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“Gazprom” Decides to Appeal Antimonopoly Committee’s 86 Bln Fine

Wednesday, 13 April 2016 16:47

The relevant claim was registered by the Russian monopolist on April 12, 2016, in Kyiv Economic Court, UNIAN press-office reports.

The Russian energy giant “Gazprom” has decided to appeal in Kyiv Economic Court a three-month-old decision of the Antimonopoly Committee of Ukraine about the fine, amounting to UAH 86 bln, for abuse of monopoly position on Ukraine’s natural gas transit market.

The relevant claim was registered by “Gazprom” on April 12, 2016, in Kyiv Economic Court.

In addition, “Naftogaz of Ukraine”, the largest state energy holding in Ukraine, and its subsidiary company “Ukrtransgas” are identified as the defendants in court case.

As UNIAN reported, at the end of April 2015 Prime-Minister of Ukraine Arsenii Yatseniuk addressed to the Antimonopoly Committee with the request to initiate investigation against “Gazprom”, because its actions harm the Ukraine’s economy, and the company “is acting under discriminatory, virtually uncompetitive conditions”.

As per data, provided by the Ministry of Justice, Ministry of Energy and Coal Mining, Antimonopoly Committee and NJSC “Naftogaz of Ukraine”, due to actions of “Gazprom” Ukraine actually lost the opportunity to trade with gas on its western border as well as was deprived of the opportunity to fully use the Slovak route for gas import, because the Russian gas monopolist purchased all capacities of this gas pipeline. Also, by blocking virtual gas flows from Slovakia, “Gazprom” deprived European suppliers of their potential significant share of Ukrainian market.

On its part, on April 22, 2015, the European Commission pressed official charges against “Gazprom” in connection with its dominant position on Central and Eastern European market, violating EU antimonopoly legislation.

In the meantime, Ukraine addressed to EU partners in order to jointly conduct antimonopoly investigation and establish “the fact of monopolism of Russian company “Gazprom” not only in the European Union, but also in Ukraine”.

In mid-May, by order of the Prime-Minister the Antimonopoly Committee of Ukraine initiated antimonopoly investigation against “Gazprom”.

On December 24, 2015, the Antimonopoly Committee acknowledged “Gazprom” as the monopolist on natural gas transit market on Ukraine’s territory and expected to encounter with company representatives and present evidence of their abuse of monopoly position in Ukraine.

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