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14.04.2022 PGNiG appeals against EU Court’s judgment concerning Gazprom’s commitments

Polish Oil and Gas Company has filed an appeal against the judgment of the General Court of the EU of February 2nd 2022, which dismissed the Company’s complaint against the European Commission’s decision of 2018 accepting Gazprom’s proposed commitments to discontinue abusive market behaviour in EU countries.

PGNiG SA upholds its negative opinion on Gazprom’s commitments made as part of the settlement agreement ending the European Commission’s antitrust proceedings. The Company is of the opinion that they have failed to restore competitive conditions in the CEE gas market.

PGNiG hopes that the Court of Justice of the European Union will concur with the arguments presented in the appeal, and that Gazprom’s practices involving abuse of its dominant position will meet with strong reaction from the European Commission to really provide a level playing field for competitors in Europe’s gas market.

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Between 2012 and 2018, the European Commission investigated Gazprom’s monopolistic practices in Central and Eastern Europe, including Poland. The allegations against Gazprom included obstructing gas trade between EU countries in the region and charging them abnormally high gas prices. In addition, in the case of Poland and Bulgaria allegations were made that Gazprom had conditioned gas supplies on aspects related to the gas infrastructure. The proceedings were closed in May 2018 with the Commission accepting Gazprom’s commitments to restore competitive conditions in the CEE markets, and deciding not to charge Gazprom a financial penalty for violating competition laws. Gazprom’s commitments were to guarantee the free flow of gas between EU member states, provide contractual mechanisms to ensure competitive prices for Gazprom’s customers, and not benefit from the advantages it has obtained through the control of gas infrastructure in individual EU countries.

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