Get 40% Off
🤯 Perficient is up a mind-blowing 53%. Our ProPicks AI saw the buying opportunity in March.Read full update

Poland's PGNiG urges tough stance in EU antitrust case vs Gazprom

Published 18/05/2017, 13:12
© Reuters. The PGNiG Termika Zeran heat power station is seen across Vistula river in Warsaw

By Agnieszka Barteczko

WARSAW (Reuters) - State-run Polish oil and gas company PGNiG (WA:PGN) urged the European Commission on Thursday to take a tough stance in its antitrust investigation into Gazprom (MM:GAZP), saying the Russian company should have to pay a fine and sell assets.

EU competition regulators said in March that concessions made by Gazprom following charges it has abused its dominant position in central and eastern European gas supplies should ease concerns of market abuse.

That provisional deal moved closer to ending one of Brussels' longest-running antitrust probes, which could have seen Gazprom fined up to 10 percent of annual global turnover.

However, the deal is subject to feedback from some EU states and market players, and Poland, which imports most of the gas it consumes from Russia, said in March it would use "all legal means" to block the proposed settlement.

"The European Commission should financially punish Gazprom and create competitive conditions on the gas market," PGNiG said on Thursday, presenting details of the feedback it has to send to the Commission by Friday.

Chief Executive Piotr Wozniak told a news conference that Gazprom had abused anti-monopoly laws by, for example, setting different gas prices for different clients, imposing higher prices for some clients and linking its gas supplies with control over gas infrastructure.

"We have calculated every single cent we have overpaid for the gas," Wozniak said, but declined to give a figure for this or the size of fine it was seeking for Gazprom.

PGNiG also said it wanted the Commission to take steps to prevent Gazprom from abusing its dominant position in future.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

It said Gazprom should have to sell controlling stakes in companies that own key gas infrastructure in the EU, including the Jamal-Europe gas pipeline, as well as the Opal link and Katharina underground gas storage in Germany.

Wozniak said PGNiG was the last market participant to provide feedback in the EU's antitrust case against Gazprom.

"Mostly everyone has focused on its own market, but there is some agreement regarding the sale of infrastructure (...)," he said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.