Spain Opens Antitrust Investigation Into Exolum Over Pricing and Market Access

The National Commission on Markets and Competition (CNMC) is investigating three suspected violations involving the transportation and storage of liquid hydrocarbons, biofuels and other chemical products. The inquiry could take as long as two years to conclude, Reuters reported Wednesday.

The investigation centers on whether Exolum, Spain’s leading liquid hydrocarbon logistics operator, used its market influence to sustain elevated profit margins through price increases while limiting competition at the northeastern port of Tarragona.

According to Reuters, the regulator suspects the company’s pricing practices may have contributed to repeated increases in costs ultimately borne by consumers. Authorities are also examining whether Exolum improperly denied a rival operator access to transportation and storage facilities, potentially strengthening its control over infrastructure in an economically significant coastal region.

The allegations raise broader competition concerns because Spain has only one pipeline network dedicated to transporting liquid hydrocarbons. Restrictions on access to that system could make it more difficult for competing businesses to operate in downstream fuel markets, according to the CNMC.

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The regulator initiated proceedings after reviewing internal regulatory assessments and a dispute involving access to infrastructure. Competition officials also inspected Exolum’s headquarters as part of their investigation, according to a statement published by the CNMC on Wednesday.

Exolum rejected suggestions that its commercial practices violate competition rules.

In a statement cited by Reuters, the company maintained that its pricing is fair and transparent and that its operations comply with applicable competition legislation. Exolum said adjustments to prices for its principal services have remained below inflation annually for the past 25 years, with rates unchanged during the recent energy crisis.

The company also pledged to cooperate with regulators while exercising its right to challenge the allegations and defend its business practices.

The investigation places additional scrutiny on a company that occupies a central position in Spain’s fuel distribution infrastructure. The outcome could have implications for how competitors gain access to transportation and storage networks and how prices are determined across the country’s energy supply chain.

The CNMC has up to 24 months to complete the proceedings. The opening of the case does not constitute a finding of wrongdoing, and no infringement has yet been established.

Source: Reuters