Croatian Competition Agency Raids Companies in Low and Medium Voltage Market Probe

The Croatian Competition Agency (AZTN) has launched an investigation into several companies operating in the low and medium voltage network market, suspecting them of engaging in anti-competitive practices. The agency has also conducted unannounced searches at the premises of three companies as part of the probe.

The proceedings target seven firms: KOPRODUKT TRGOVINA d.o.o. (Zagreb), ELEKTRO MERKUR d.o.o. (Rijeka), ŠARE d.o.o. (Zemunik Donji), ELCON d.o.o. (Varaždin), BRODOMERKUR ENERGETIKA d.o.o. (Split), COTRA d.o.o. (Varaždin), and BRODOMETALURGIJA d.o.o. (Split). The AZTN is investigating whether these companies engaged in market-sharing practices by coordinating their bids in public and simple procurement procedures issued by HEP-Operator distribucijskog sustava d.o.o., a key national electricity distributor.

The investigation was prompted by a complaint from Serbian company Marel d.o.o., a manufacturer of cable and connection accessories, which alleged that the seven firms had divided the Croatian market by submitting bids only for specific distribution areas. Following a preliminary market assessment, the AZTN found sufficient indications to warrant a formal investigation.

To gather evidence, the agency, acting under the authority of the Competition Act and with the approval of the High Administrative Court of Croatia, carried out unannounced searches at the business premises of KOPRODUKT TRGOVINA, COTRA, and BRODOMETALURGIJA.

The AZTN emphasized that the initiation of proceedings and the searches do not imply guilt or a final decision against the companies involved. The investigation will determine whether a prohibited agreement under Article 8 of the Competition Act was concluded and whether competition in the market was restricted or distorted.

The findings of the AZTN’s investigation will be announced once the proceedings conclude, potentially leading to penalties if violations are confirmed. The case underscores the agency’s commitment to maintaining fair competition and preventing collusive practices in key infrastructure markets.

Source: https://www.aztn.hr/aztn-pokrenuo-postupak-i-proveo-nenajavljenu-pretragu-na-trzistu-niskonaponskih-i-srednjenaponskih-mreza/

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