OREANDA-NEWS. September 24, 2012. The Federal Antimonopoly Service (FAS Russia) made a decision on the case against “Tver Power Supply Company” OJSC and the Regional Energy Commission of the Tver Region that in 2010 - 2011 had set excessive prices for electric power for customers in the Tver region, reported the press-centre of FAS Russia.

In 2010 – 2011 “Tver Power Supply Company” OJSC, jointly with the Regional Energy Commission of the Tver Region, presented understated calculation data on the average number of hours of capacity utilization. Based on these data, the “Trading System Administrator of the Wholesale Power Market” OJSC determined the average prices for electric power for customers in the Tver region, calculated as per one-part tariff.

Understating the total number of hours of capacity utilization resulted in a considerable growth of the average-weighted non-regulate prices for electric power (capacity) for end-customers, calculated as per one-part tariff.

FAS found that “Tver Power Supply Company” OJSC and the Regional Energy Commission of the Tver Region violated Article 16 of the Federal Law “On Protection of Competition”: the above entities entered into an agreement that resulted in an unreasonable growth of prices for electric power. FAS also found that “Tver Power Supply Company” OJSC violated Part 1 Article 10 of the Federal Law “On Protection of Competition” (abusing market dominance) by manipulating prices on the retail market of electric power (capacity).

“The unreasonable growth of prices for customers in the Tver region is a consequence of violating the antimonopoly law by the companies. The Government of the Russian Federation made a decision to adopt the new Main Provisions of the Functions of the Retail Markets of Electric Power Capacity (No. 442 Decree of the Government of the Russian Federation of 4th May 2012), which limits considerably limits possibilities for unreasonable actions, in particular price manipulations, especially by providers of last resort. To execute No.1180 Decree of the Government of the Russian Federation of 29the December 2011, FAS representatives have joined the Councils of Directors of all tariff regulators in the constituent territories of the Russian Federation in order to strengthen control and ensure that the prices for electric power industry are justified”, said Deputy Head of FAS Anatoly Golomolzin.

In accordance with the established procedures against the violators of the antimonopoly law, FAS will also consider administrative cases for imposing prices.