THE ANTIMONOPOLY COMMITTEE OF UKRAINE FINED KYIVEHERHO

The AMCU recognized the actions of PAT Kyivenerho (city power distribution company) as abuse of monopolistic (dominating) position on the market of electric energy distribution (transmission of electric energy) by local electric supply networks within the limits of Kyiv.

The penalty amounted to 17,958, 891 (seventeen million nine hundred fifty-eight thousand eight hundred ninety-one) hryvnas.

Yesterday, the Standing Administrative Body of the AMCU established that PAT Kyivenerho created obstacles for the access to the market of electric energy distribution (transmission of electric energy) by local electric supply networks within the limits of Kyiv for the suppliers at unregulated rates, in particular, TOV EK ENOLL and PrAT Karbon.

PAT Kyivenerho restricted these suppliers in their choice of potential customers and deprived their opportunity to carry out business activities in Kyiv, particularly by nominating unreasonable requirements to the project of the agreement for the distribution of electricity.

Such actions of PAT Kyivenerho were recognized as violation of the legislation on protection of the economic competition provided by paragraph 2 of Article 50 of the Law of Ukraine “On protection of the economic competition” in the form of abuse of monopolistic (dominating) position.

The monopolist is given 2 month for voluntary execution of the decision of the Antimonopoly Committee of Ukraine.

With that, the antitrust agency announced that markets of electric energy are of the highest priority in the performance of the Anti-monopoly Committee of Ukraine in 2017. It is expected that during the current year, the Committee will conduct regular inspections of electricity organizations to check if they comply with the legislation on protection of the economic competition in the part of the access of independent suppliers to the market of electrical energy distribution at unregulated rates.

The authority emphasizes that the increase in the number of electricity suppliers have to become a prerequisite for the introduction of a competitive electricity market and will give consumers an opportunity to choose a supplier.

 

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