Actions of Samara regional authorities can eliminate competition on the gas transportation market

FAS has opened a case against the Governor of the Samara region, “Gazprom” Group” PJSC and the Ministry of the Samara region for Energy and the Housing & Utilities Sector

The Antimonopoly Service received a compliant from “Srednevolzhskaya Gaz Company” Ltd. (“SVGK” Ltd.) against actions of the regional executive bodies and the companies – members of the “Gazprom Group” PJSC.

FAS has established that since 2010 the above persons have been implementing an agreement designed to shift large gas consumers from “SVGK” Ltd. to the gas-distribution networks of “Gazprom Mezhregiongaz” Ltd.

In 2011, the Governor of the Samara region, together with a “Gazprom” subsidiary, approved and adjusted a scheme for gas supply and gas infrastructure development within the region, which is the basis for constructing new and modernizing the existing gas-distribution systems. It should be noted that the document should be devised and adopted to cover networks owned not only by “Gazprom” but also by independent organizations.

Although there are at least two gas-distribution companies in the Samara region (“SVGK” Ltd. and “Gazprom Gazoraspredelenie Samara” Ltd.), the scheme was adjusted without any consultations with “SVGK” Ltd. The Antimonopoly Service also revealed that the company had critical remarks regarding the scheme that were submitted to the Ministry of the Samara region for Energy and the Housing & Utilities Sector, but not taken into account.

Such actions by the regional authorities and the “Gazprom Group” can lead to “Srednevolzhskaya Gaz Company” Ltd. exiting the market.

FAS opened a case against the Governor of the Samara region, “Gazprom” Group” PJSC and the Ministry of the Samara region for Energy and the Housing & Utilities Sector upon signs of violating Clause 4 Article 16 of the Federal Law “On Protection of Competition”.

The first case hearing is scheduled on 3 February 2017 at 10:00 a.m.