Cypriot Competition Authority fines fuel companies

17 November 2017

By decision 51/2017, the Cyprus Commission for the Protection of Competition (‘CPC’) imposed a total fine of €20.775.630 on the following Cypriot based fuel companies after an investigation carried out on its own initiative,: ExxonMobil Cyprus Ltd, Hellenic Petroleum Cyprus Ltd, Petrolina Holdings (Public) Ltd και Lukoil Cyprus Ltd.

The CPC unanimously decided that the above four companies during the period from 1.10.2004 to 22.12.2006 breached section 3 (1) (a) of the Law on the Protection of Competition (equivalent to Article 101 (1) TFEU) by engaging – through their vertical agreements with their respective service station dealers – in direct or indirect resale price maintenance. It was decided that such anti-competitive practice had the object or effect to prevent, restrict or distort the competition within the Republic of Cyprus. The CPC also decided that this anti-competitive practice extended until 3.12.2015 since the evidence before it did not demonstrate that the said (vertical) anti-competitive practices had ceased.

The CPC also unanimously ordered the concerned four undertakings to cease and desist from the abovementioned anti-competitive practices.

By majority 3 to 2, the CPC decided that the said undertakings did not engage in a horizontal concerted retail price-fixing practice in breach of section 3 (1) (a) of the Law on the Protection of Competition in the period covered by the investigation.

The CPC Press Release (in Greek) dated 15.11.2017 is available at the below link:

http://www.competition.gov.cy/competition/competition.nsf/All/C206AEEAD3ED8D3EC22581D90048D2DE?OpenDocument