OREANDA-NEWS. July 16, 2008. The Federal Antimonopoly Service (FAS Russia) fined "Kubanskaya Electricity Supplier" OJSC (Kubanenergosbyt OJSC) 67 100 000 Rubles for breaching Part 1 Article 10 of the Federal Law "On Protection of Competition" (abusing dominant position), reported the press-centre of FAS Russia. 

On 19th May 2008, the Antimonopoly Service processed the antimonopoly case against the company. The case was initiated upon a complaint of the "Independent Electricity Supplier of the Krasnodar Region" OJSC ("NESК" OJSC).

Investigating the case, FAS Russia established that "Kubanenergosbyt" OJSC was abusing its dominant position on the market of electricity buying-swelling (supplying) and preventing access of "NESК" OJSC to the wholesale electricity market.

To enter the wholesale market and supply electricity to its retail customer - "Novorosmetall" Ltd. - "NESК" OJSC sent to "Kubanenergosbyt" OJSC a singed List of measuring instruments for electricity supply accounting at "Novorosmetall" Ltd.

The document is necessary to gain access to the services of the market administrator. Under Clause 8 of the Rules for obtaining non-discriminatory access to the services of a wholesale market administrator and for offering such services, an agent of a wholesale market, adjacent to the petitioner, must agree on the List within 30 days after the date the List was received. "Kubanenergosbyt" OJSC, however, evaded signing this document.

Therefore, "Kubanenergosbyt" OJSC prevented the access of "NESК" OJSC to the wholesale electricity market, infringed the company's interests and restricted market competition. The Federal Law "On Protection of Competition" imposes administrative liability for such violations in form of turnover fines under Article 14.31 of the Code of Administrative Violations of the Russian Federation.