The Commission for Protection of Competition has addressed allegations for committed abuse of a dominant position to „Veolia Energy Varna“ EAD, Varna city

By Statement № 1234/16.12.2021, ruled on case № KZK-370/2019, CPC has addressed to „Veolia Energy Varna“ EAD allegations for committed infringement of art.21, point 2 of LPC, manifested in an abuse of a dominant position, aimed at restricting trade and technical development on the market of share distribution of heating power in Varna city, carried out by promoting the distribution of heating power without technical devices for its measurement, as well as by unilateral replacement of water meters of customers, served by other share distributors of heating power, thus hindering their activity, which conduct directly or indirectly affects the interests of consumers. 

The proceedings before the CPC have been initiated upon a formal request from “Holiday and Raisen” EOOD, Varna.

Based on the evidence, collected in the proceedings, the Commission found that the respondent company is the only participant and an undertaking with a dominant position on the market of transmission and supply of heating energy for private properties in condominiums in Varna. This market, in turn, has a direct impact on the vertically integrated market for share distribution of heating power in condominiums, where Veolia is a competitor of “Holiday and Raisen” EOOD.

The analyzed behavior of „Veolia Energy Varna“ EAD is carried out by implementing an overall strategy of restricting the market of share distribution of heating energy in Varna city, in the period 2015 - 2020, leading to an outflow of consumers and subsequent reduction in the activity of the share distributors of heating power.

Within 50 days, the addressee of the Statement of objections and the applicant have the right to submit their written objections and observations. The period runs from the day of the Statement receipt.