FAS RECOGNIZED MEGAFON AS VIOLATING ANTIMONOPOLY LEGISLATION

29-12-2022 | 10:42

The telecom operator unreasonably increased the cost of services for subscribers

Earlier, the authority initiated an antimonopoly case against PJSC Megafon*. In May, the operator increased tariffs for communication services for more than 16.5 million subscribers by an average of 12%.

FAS Russia found that the level of tariff changes did not correspond to the level of inflation (consumer price index**) since the beginning of 2022. The authority conducted an analysis of the economic reasonableness of the increase and came to the conclusion that the growth of the company's costs does not correspond to the growth of revenue from the increase in tariffs for communication services. According to FAS Russia, the increase in tariffs in the absence of technological, economic and other justification violates the interests of consumers.

Today, the Commission of FAS Russia found the operator guilty of setting and maintaining a monopolistically high price for its services. The authority issued remedies to Megafon regarding the need to reduce tariffs, within the framework of which there were increases, to an economically reasonable level.

The amount of the fine for the company will be determined during the administrative investigation***.

 

* On grounds of violation of Paragraph 1 of Part 1 of Article 10 of the Law on Protection of Competition

** According to Rosstat data for the period from the beginning of the current year as of the last week of the month in which the tariff change occurred

*** In accordance with Part 1 of Article 14.31 of the Code of Administrative Offences of the Russian Federation



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