OREANDA-NEWS. September 22, 2010. The Commission of the Office of the Federal Antimonopoly Service in the Penza region (Penza OFAS Russia) found that “SKM-Energoservice” Ltd. violated Part 1 Article 10 of the Federal Law “On Protection of Competition”, reported the press-centre of FAS Russia.

The case was initiated upon a petition of “Izumrud” Ltd. that provides laundry services for “No.1 Penza City Maternity Hospital” Municipal Health Care Institution. “Izumrud” Ltd. complained that “SKM-Energoservice” Ltd. had unreasonably terminated the contract for supply and consumption of heating energy in the form of steam and cut-off the feed of steam.

“Izumrud” Ltd. stated that it had the contract with “SKM-Energoservice” Ltd. for supply and consumption of heating energy in the form of steam. In March 2010 “SKM-Energoservice” Ltd. notified “Izumrud” Ltd. that the contract was no longer valid due to termination of a contract with “Penzateploznabzhenie” OJSC for lease of property (a boiler house).

“Izumrud” Ltd. sent its offers to “SKM-Energoservice” Ltd. and “Penzateploznabzhenie” OJSC for concluding a contract for supply of heating energy in the form of steam. “SKM-Energoservice” Ltd. refused to enter into the contract while “Penzateploznabzhenie” OJSC ignored the offer.

As a result of cutting-off the feed of steam, “Izumrud” Ltd. was unable to complete a municipal order for laundry services, which infringed the interests of society.

The Federal Law “On Protection of Competition” prohibits actions and omissions of a dominant economic entity which have resulted or can result, in particular, in infringing the interests of other persons.

Having investigated the case file and having heard the parties’ explanations, the Commission of Penza OFAS Russia found that actions of “SKM-Energoservice” Ltd. – unreasonable termination of the contract for supply and consumption of heating energy in the form of steam and cutting-off the feed of steam to “Izumrud” Ltd. - violated Part 1 Article 10 of the Federal Law “On Protection of Competition”.

“Such actions by monopolists regarding socially important organizations are simply unacceptable”, commented Anatoly Avdeev, the Head of Penza OFAS Russia.