FAS INITIATED A CASE AGAINST SIBERIAN GENERATING COMPANY

FAS has checked the reasons for the formation of a high level of prices for a day-ahead market in the second price zone (Siberia).

In the period January-March 2022, SGC submitted price applications, the value of which exceeds the price set in this commodity market earlier for similar hours of the previous day, the previous week, month and quarter.

There are signs of overestimation of price bids and manipulation of prices in the wholesale electricity market.

FAS notes that SGK occupies a dominant position in the second price zone. In addition, SGK is part of the same group of persons with the largest fuel supplier SUEK JSC. Giving that, the actions of the SGC have a significant impact on the formation and change of energy prices in the wholesale electricity and capacity market.

Based on the results of the review of the available materials, FAS decided to initiate proceedings against the SGC on grounds of violation of the Law on Protection of Competition (paragraph 11 of part 1 of Article 10).

Consumers of SGCs in the second price zone are large industrial enterprises that form the final price of products taking into account the cost of electricity.

The Authority additionally informs that the actions of other market participants are being analyzed.

FAS also recalls that earlier the agency completed the consideration of a similar case against the company T Plus, where the additional financial burden incurred by industrial consumers was estimated at 66.8 million rubles per month.