The Antimonopoly Committee of Ukraine published the Clarification regarding state support for natural monopolies

The Antimonopoly Committee of Ukraine published the Clarification regarding state support for natural monopolies

In the Explanations on the application of state aid legislation № 3-рр/дд submitted by the Antimonopoly Committee of Ukraine, as the authorized body on State Aid on March 20, 2018, the Committee outlined its position regarding the considering of state support for natural monopoly as the state aid.

Thus, the published Explanations specify the list of conditions for which the state support of natural monopoly entities related to the management of an integral property complex, which provides performance of a natural monopoly functions, will not affect competition and, therefore, will not constitute state aid.

The Committee also specifies the list of conditions for which state support in the form of compensation for the provision of natural monopoly services will not affect competition and, consequently, will not constitute state aid.

As is known, due to the entry into force of the Law of Ukraine “On State Aid to Undertakings” on 02.08.2017, the new state aid to be notified may only be provided after receiving a positive decision of the authorized body (AMCU) regarding such aid.

The full text of the Explanations is available at the link.

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