Is PGNiG abusing its market power and restricting competition on retail and wholesale gas trading market? The proceedings instituted today by the President of UOKiK will clarify it

Polskie Górnictwo Naftowe i Gazownictwo (PGNiG) is a dominant on the wholesale natural gas trading market. Moreover, the company owns approx. 98 % of shares on the domestic market of retail sale of this fuel. Suspecting PGNiG of abusing its position on these markets, the President of UOKiK instituted the antimonopoly proceedings in this case.

The Office of Competition and Consumer Protection (UOKiK) inspected the agreements concluded between PGNiG and its industrial contractors, representatives buying from PGNiG gas fuel intended for further resale as well as standard forms of agreements applied by PGNiG. The initial analysis of clauses contained there revealed that they may result in the restriction of competition. The President was concerned, among others, about clauses restricting recipients of gas fuel the possibility to decrease the amount of gas fuel ordered for subsequent years as compared to the previous orders. Furthermore, the President of UOKiK challenged these clauses which hindered contractors from further resale of gas purchased from PGNiG.

The antimonopoly proceedings against PGNiG concerning also the above mentioned practices were instituted today – Following the information collected as part of explanatory proceedings, it can be claimed that PGNiG applies different contract clauses which may constitute a competition-restricting practice. We will check if the company abused its market power when cooperating with contractors – as stated Małgorzata Krasnodębska-Tomkiel, President of UOKiK.

The proceedings will be conducted also based on EU law. The President of UOKiK will examine if the practice applied by the company might have affected the trade between EU Member States thus infringing Article 102 of the Treaty on the Functioning of the European Union. If the allegations prove reasonable, the undertaking may be subject to a financial sanction of up to 10 % of its revenue.

Additional information for the media:
Małgorzata Cieloch, Spokesperson for UOKiK
Pl. Powstańców Warszawy 1, 00-950 Warszawa
Tel.: +48 22 827 28 92, 55 60 314
Fax: +48 22 826 11 86
E-mail: [SCODE]bWNpZWxvY2hAdW9raWsuZ292LnBs[ECODE]