The European Commission has opened a formal antitrust investigation to assess possible abusive behavior by Public Power Corporation (PPC) in the wholesale Greek electricity sector.
Executive Vice-President Margrethe Vestager, in charge of competition policy said, “We all rely on well-functioning electricity markets. Today we are launching an investigation of PPC’s behaviour in wholesale electricity markets in Greece that might have distorted competition and slowed down investment into the generation of greener energy. Greece has recently embarked on an ambitious plan to exit from lignite. Ensuring effective competition is the best way to deliver competitively priced electricity, both for citizens and businesses, as well as to stimulate investment in less polluting energy sources.”
PPC is the largest supplier of retail and wholesale electricity in Greece. PPC is majority owned by the Greek State. It controls all lignite and hydro as well as some of the natural gas and renewable power generation plants. It is also active in the supply of energy to retail and business consumers where it still has more than two-thirds market share.
The Commission is concerned that PPC may have restricted competition in the Greek wholesale electricity markets with its bidding behaviour. In particular, in light of PPC’s position both at wholesale and retail levels, it may have adopted predatory bidding strategies hindering the ability of PPC rivals to compete in the wholesale and related electricity markets.
If proven, this behavior may constitute an exclusionary predatory practice, which is in breach of EU antitrust rules, specifically on the abuse of a dominant market position.
The opening of proceedings means that the Commission will examine the cases as a matter of priority. It does not prejudge the outcome of the investigation.
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