The Working Group on Investigating Issues on Pricing in the Oil and Oil Product Markets and Methods of their Functioning (“The Oil Working Group”)

Fifth Session

MINUTES

March 28, 2013

Kiev, Ukraine

 Co-chairs:

From the Republic of Austria:

Theodor Thanner

 

Director General of the Austrian Federal Competition Authority

 

 

From the Russian Federation:

Anatoly GOlomolzin

 

 

Deputy Head of the Federal Antimonopoly Service

 

From Ukraine:

 

 

Vassyl Tsushko

 

 

Chairman of the Antimonopoly Committee of Ukraine

1.     topics of the working group’s session:

1.1.         Discussion of non-confidential information exchange proceedings among members of the Oil Working Group. Program “Information Exchange Platform” (hereinafter referred as the “Platform”);

1.2.         Results of the Oil Working Group’s activity and preparation of proposals for national governments to promote competition in the markets of oil and oil products.

 

2.     discussed:

2.1.         Information of Anatoly Golomolzin on the work conducted by the FAS Russia and the Austrian Federal Competition Authority related to creation and functioning of the Platform.

2.2.         Information of Theodor Thanner on technical characteristics of the Platform and areas of its further launching and functioning.

2.3.         The report of Mykola Barash “The proposals of the Antimonopoly Committee of Ukraine on building up theInformation Exchange Platform in the oil and oil product markets taking into account the particularities of pricing in the domestic markets and influence of quotations of world prices of oil products on such markets” (Supplement No.2).

2.4.         Information of Daria Savina on the Oil Working Group’s activity over the period of 2011-2013.

2.5.         The Co-Chairs of the Working Group summarized the results of the Oil Working Group’s activity.

 

 

3.     noted:

3.1.1.  The necessity for cooperation and exchange of know-how and information on methodological/technical issues among national competition authorities - due to the fact that the oil and oil product markets have a cross-border nature and because competition authorities face similar challenges.

3.1.2.  The necessity for adequate legal empowerment, qualified staff, and material resources of competition authorities.

3.1.3.  The necessity for conducting the analysis of a complex interaction of regional, national and international factors influencing the competition intensity in analyzing the oil and especially the oil product markets.

3.2.         The oligopolistic nature of the markets which poses special challenges to combating collusion as well as abuse of collective dominance.

3.2.1.  Importance of the enforcement practice of the antitrust legislation, the creation of the legal basis directed at the development of exchange trading in physical oil products and derivatives, the registration of OTC transactions and the formation of indices of exchange and OTC prices, as well as indices of comparable foreign markets.

 

4.     decisions:

4.1.         To adopt the “Kiev Declaration” (see Supplement No.3), which reflects the main areas of activity of the Working Group, such as:

4.1.1.  To form the Oil Information Exchange Platform.

The Platform will consist of two symmetrical versions in English and Russian. The English part will be maintained and filled with information by specialists of the Austrian Federal Competition Authority; the Russian part will be administered at the official website of the FAS Russia and will be maintained and filled with information by the specialists of the FAS Russia.

Access to information contained at the Platform will be granted solely to competition authorities. In the future, the issue of an extension of the access to information contained at the Platform may be discussed by the members of the Oil Working Group.

4.1.2.  To annually hold a meeting/seminar in order to exchange information, know-how and experience. The next event will be organized by the Portuguese Competition Authority in 2014 (proposal of Portugal). 

4.1.3.  To publish a brochure with all the documents and materials of the Working Group in a Russian-English version.

4.2.         To communicate the results of the Working Group at the sessions of the international organizations (the Organization for Economic Cooperation and Development (OECD), the International Competition Network (ICN), the Interstate Council for Antimonopoly Policy (ICAP)) and to national governments.

4.2.1.  To hold a meeting among the representatives of the FAS Russia and the Antimonopoly Committee of Ukraine for the purposes of research of the Russian experience on the exchange trading in oil and oil products and registration of exchange and OTC transactions in the oil and oil product markets.

Kiev Declaration
(PDF, 362.48 Kb)
Minutes 5 - Oil Working Group
(PDF, 240,55 Kb)
Proposition of Ukraine for building a collaborative platform (M. Barash)
(PDF, 474,3 Kb)