OREANDA-NEWS. November 11, 2011. The Federal Antimonopoly Service (FAS Russia) found that “TGK-1” OJSC violated a determination of the antimonopoly body and issued a determination to fine the 300,000 Rubles, reported the press-centre of FAS Russia.   

At the end of 2009, FAS granted a petition of “Gazprom Energoholding” Ltd. on acquiring over 50 % voting shares of “TGK-1” OJSC subject to executing a determination.

According to the determination issued to the group of persons of “Gazprom Energoholding” Ltd. (comprising “TGK-1” OJSC), to execute the petitioned transaction the company had to meet certain requirements, particularly, filing price bids for to take part in the procedure of competitive selection on the day-ahead market and the balancing market of the wholesale market of electric power (capacity).

Following the determination of the Antimonopoly Service, to form price bids the group of persons of “Gazprom Energoholding” Ltd. should have taken into account the average weighted price of the fuel used to generate electric power and capacity on the relevant power-generating equipment and do not form the price bid based only on the costs for generating the certain volume of electric power and capacity using the most expensive type of fuel.

However, FAS established that in December 2010 “TGK-1” OJSC filed “residual fuel” price bids based only on the cost of more expensive fuel – residual oil, without taken into account a cheaper fuel – gas. As a result, “TGK-1” OJSC failed to execute the requirements of the Antimonopoly Service. Having investigated the administrative case against “TGK-1” OJSC under Part 2.3 Article 19.5 of the Code of the Russian Federation on Administrative Violation, FAS Russia “TGK-1” OJSC 300,000 Rub.

Reference:

Under Part 2.3 Article 19.5 of the Code of the Russian Federation on Administrative Violation, failure to execute a legitimate decision, determination of the federal antimonopoly body, its regional bodies within the designated period to stop violating the rules for non-discriminatory access to the goods (works, services) or issued in course of exercising state control over economic concentration, a legitimate decision, determination of the federal antimonopoly body, its regional bodies to exercise actions provided for by the antimonopoly law of the Russian Federation and aimed at protecting competition is punished by administrative fines upon officials – 12,000 – 20,000 Rubles or disqualification for the period up to three years; legal persons – 300,000 – 500,000 Rubles.