EurActiv Logo
EU news & policy debates
- across languages -
Bulgaria News
Turkey News
Germany News
Spain News
France News
United Kingdom News
Poland News
Czech Republic News
Slovakia News
Hungary News
Romania News
Serbia News
Greece News
Italy News
Bulgaria Turkey Germany Spain France United Kingdom Poland Czech Republic Slovakia Hungary Romania Serbia Greece Italy
EurActiv.com Network

BROWSE ALL SECTIONS

Energy giants face EU competition probe

Published 14 May 2007 - Updated 29 June 2007
Printer-friendly versionSend to friend

The Commission has announced the opening of anti-trust procedures against two leading energy companies, saying that it suspects Italy's Eni and Germany's RWE of illegally excluding competitors from the gas-supply market.

The Commission said that the probes would focus on the "possible exclusion of potential competitors from the market", in a statement on 11 May. 

In RWE's case, the Commission will investigate whether the group may have prevented rivals from acquiring customers by raising their costs and hindering their access to critical gas transport infrastructure. 

As for Eni, the Commission said that it suspected the company of "capacity-hoarding and strategic under-investment in the transmission system, leading to the foreclosure of competitors and harm for competition and customers in one or more supply markets in Italy". 

Both cases are being launched based on evidence gathered during raids last year, which also covered other large energy groups including Eon of Germany, Gaz de France, Distrigas and Fluxys of Belgium and Austria's OMV. 

These other companies could also become the subject of formal probes in the coming months, as the Commission steps up the pressure to liberalise the energy market after a sector review carried out last year revealed "serious competition problems" were affecting consumers (EurActiv 11/01/07). 

If the investigations confirm the accusations, the two companies could face financial penalties of up to 10% of their annual turnover. 

Advertising