site.btaRegulator Imposes Multi-million Fine on Bulgargaz for Dominance Abuse

Sofia, July 30 (BTA) - The Commission for Protection of Competition has imposed a nearly 23.5 million leva fine on gas supplier Bulgargaz for abuse of its dominant position in the market. The gas supplier imposed unfair contractual terms for public gas supplies between August 2 2010 and December 31 2012, the Commission said Wednesday.

Bulgargaz forced its clients to extend their supply contracts without any possibility to renegotiate contractual terms. Also, the company imposed unilaterally terms without which clients could not extend their contracts and without reciprocal rights. Clients were forced to pre-order larger quantities.

The Commission has ruled that Bulgargaz has exploited its dominant position in the absence of an alternative supplier and has threatened the uninterrupted nature of gas supplies to its clients.

The fine is appealable before the Supreme Administrative Court.