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ASSESSMENT OF INFRINGEMENT OF COMPETITION RULES IN THE NATURAL GAS MARKET IN THE REPUBLIC OF SERBIA

BELGRADE, Wednesday, January 17, 2018.

On January 17, 2018, the Energy Agency of the Republic of Serbia has addressed the Commission for the Protection of Competition of the Republic of Serbia (KZK) with reference to the letters sent to the Agency by natural gas suppliers indicating that the Transmission System Operator PE Srbijagas did not provide them with the access to the Horgoš entry point on the border with Hungary.

Horgoš is the only point of entry into the transmission system of Serbia where natural gas import can be realized and these import quantities account for around 80% of the total volume consumed in Serbia on the annual level. The limitation of access to this entry point effectively prevents the import of natural gas for other suppliers except for Srbijagas and this affects competition in the wholesale and retail natural gas markets in the Republic of Serbia.

Since in line with the Energy Law, the Agency is in charge to provide non-discriminatory access to systems, effective competition and efficient operation of electricity and natural gas markets, and since without any delay, the Agency is obliged to inform KZK immediately upon becoming aware of activities which limit customers’ selection of suppliers, the Agency has proposed tothe Commission for the Protection of Competition to assess possible infringement of competition rules in the natural gas market in the Republic of Serbia and take adequate measures in line with lawful jurisdiction.

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