Spain: Regulator charges Fenosa & Endesa with price-rigging

Spain’s National Commission of Markets and Competition (CNMC) has initiated sanction proceedings against Gas Natural Fenosa Generación and Endesa Generación after observing signs of price-fixing between October 2016 and January 2017.

The Energy Directorate has observed signs of possible alteration of the so-called ‘pool’ generation dispatch in order to obtain higher revenues in restricted markets (adjustments made in emergency situations to ensure adequate supply). Specifically, they would have made an “abnormally high” offer for these plants to participate in this restricted market and thus obtain higher revenues.

This behavior could have been carried out by Gas Natural Fenosa Generación in five power plants (Sagunto, San Roque, Málaga, Port of Barcelona and Besós) and by Endesa Generación in the Besòs combined cycle plant.

Both Gas Natural Fenosa and Endesa have announced that they will present appeals against the sanctions. “We have just received the file, we will study it and we will present our cases” … “in which we will demonstrate, not only that in no case were anomalous or disproportionate offers made, but also the erroneous basic approach.” “This serious accusation has no economic foundation, even more so in a supposedly liberalized economic sector” said the multinational energy company.

Full Content: El Español

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.