“Energosbyt Plus” OJSC failed to execute a FAS determination

Court confirmed legitimacy of a fine imposed upon the company for poor planning of energy consumption

FAS issued injunctions under the frame of considering petitions aimed at consolidating assets of “Energosbyt Plus” OJSC.

FAS specified in the injunctions: being the last resort provider, the company must better plan electric power consumption and do not overestimate volumes since it leads to increased prices on the wholesale markets of electric power and capacity.

FAS analyzed execution of warnings and exposed overestimated volumes of electric power consumption in September 2015.

Thus, “Energosbyt Plus” OJSC failed to execute conduct conditions set by the antimonopoly authority. FAS fined the company 300,000 RUB for the violation. The Court confirmed legitimnacy of the fine. The company paid to the federal budget.

Earlier, the Antimonopoly Service found that the group of persons of “Energosbyt Plus” OJSC violated the Federal Law “On Protection of Competition”. In 2012-2013 the last resort providers of the group considerably overestimated electric power consumption. FAS issue an injunction to transfer over 860 million RUB to the federal budget of unlawfully gained income to the federal budget.

Head of FAS Department for Control over Electric Power Industry, Dmitry Vasiliev, said:  “FAS monitors prices on the wholesale market of electric power and capacity on a regular basis, evaluating whether the last resort providers overestimate planned electric power consumption. The antimonopoly body shall impose fines in each incident of failure of execute conduct conditions”.

Reference:

Part 6 Article 25 of the Law on Electric Power Industry states that in accord with the procedure established by the antimonopoly law of the Russian Federation, in view of the specifics determined by the Government of the Russian Federation, an economic entity can be forcibly split off in a case of repeated abusing dominance, particularly,  when such economic entity manipulates prices on the wholesale or retail markets or other monopolistic activity.