OREANDA-NEWS. March 27, 2009. The 19th Arbitration Appeal Court dismissed the appeal of "Orel Heal Supply Network Company" OJSC against the ruling of the Orel Regional Arbitration Court, which earlier had confirmed validity and relevance of the decision and determination of the Orel OFAS Russia that "Orel Heal Supply Network Company" OJSC had violated Part 1 Article 10 of the Federal Law "On Protection of Competition", reported the press-centre of FAS Russia.

"Orel Heal Supply Network Company" OJSC has dominant position on the market of the services for transmitting and distributing heat energy. The company violated the law by imposing contract conditions upon a municipal company "Orelgorteploenergo" on the procedures for determining the quantity of the supplied heat energy by the calculation-and-balance method in the absence of measuring devices in possession of the contract parties.

Investigating the antimonopoly case, the Orel OFAS Russia established that such contract conditions were not only unfavorable but also unacceptable for "Orelgorteploenergo". "Orelgorteploenergo" suggested a lawful method for calculating the quantity of heat energy according to the heat load, with correction for the outdoor temperature, which would give more reliable indicators in comparison with the calculation-and-balance method.

The stay of enforcement of the determination issued by the Orel OFAS Russia expires when the ruling of the Arbitration Appeal Court comes into force. According to the determination, "Orel Heal Supply Network Company" OJSC must stop imposing unfavorable contract conditions on determining the quantity of the supplied heat energy and amend the contract clause in compliance with the antimonopoly legislation. Failure to execute the determination would result in imposing an administrative fined upon "Orel Heal Supply Network Company" OJSC in the amount for up to 500 000 Rubles.