VILNIUS — The Competition Council has opened an investigation into two of the country’s biggest fuel vendors because it suspects a price cartel.
Lithuanian fuel prices are relatively expensive compared to earnings in the country with unleaded 95 fuel costing around 4 litai (€1.16) per liter at the moment. There are a number of large companies in Lithuania that dominate the industry including Statoil and Lukoil, the companies under [private_supervisor]investigation.
The council is alleging that the companies communicate about when to raise fuel prices or price-dump, a practice that kills smaller competitors.
“The Competition Council confirms that its authorized officers conducted an inspection SIA Statoil Lithuania and UAB Lukoil Baltic premises,” the council said in a press release. “[We] have reason to believe that the companies engaged in retail trade in petroleum products and may have violated the provisions of the Competition Act, which prohibits anti-competitive agreements.”
The companies have denied the claims, but welcome the investigation.
“They are doing their job. Our agreement with Lithuania Statoil is impossible, because we all work with minimal margins,” Lukoil’s Baltic region retail director Romas Turlinskas told local media.
Tax exemptions on biofuel were canceled this year, as the government scrambled for funds, pushing prices up. However, prices have been noted to rise not only on biofuel products, but across the board.
The raids on the two companies’ offices are part of the beginning of the investigation. The Competition Council said it didn’t know when the investigation would be finished.[/private_supervisor] [private_subscription 1 month]investigation.
The council is alleging that the companies communicate about when to raise fuel prices or price-dump, a practice that kills smaller competitors.
“The Competition Council confirms that its authorized officers conducted an inspection SIA Statoil Lithuania and UAB Lukoil Baltic premises,” the council said in a press release. “[We] have reason to believe that the companies engaged in retail trade in petroleum products and may have violated the provisions of the Competition Act, which prohibits anti-competitive agreements.”
The companies have denied the claims, but welcome the investigation.
“They are doing their job. Our agreement with Lithuania Statoil is impossible, because we all work with minimal margins,” Lukoil’s Baltic region retail director Romas Turlinskas told local media.
Tax exemptions on biofuel were canceled this year, as the government scrambled for funds, pushing prices up. However, prices have been noted to rise not only on biofuel products, but across the board.
The raids on the two companies’ offices are part of the beginning of the investigation. The Competition Council said it didn’t know when the investigation would be finished. [/private_subscription 1 month] [private_subscription 4 months]investigation.
The council is alleging that the companies communicate about when to raise fuel prices or price-dump, a practice that kills smaller competitors.
“The Competition Council confirms that its authorized officers conducted an inspection SIA Statoil Lithuania and UAB Lukoil Baltic premises,” the council said in a press release. “[We] have reason to believe that the companies engaged in retail trade in petroleum products and may have violated the provisions of the Competition Act, which prohibits anti-competitive agreements.”
The companies have denied the claims, but welcome the investigation.
“They are doing their job. Our agreement with Lithuania Statoil is impossible, because we all work with minimal margins,” Lukoil’s Baltic region retail director Romas Turlinskas told local media.
Tax exemptions on biofuel were canceled this year, as the government scrambled for funds, pushing prices up. However, prices have been noted to rise not only on biofuel products, but across the board.
The raids on the two companies’ offices are part of the beginning of the investigation. The Competition Council said it didn’t know when the investigation would be finished. [/private_subscription 4 months] [private_subscription 1 year]investigation.
The council is alleging that the companies communicate about when to raise fuel prices or price-dump, a practice that kills smaller competitors.
“The Competition Council confirms that its authorized officers conducted an inspection SIA Statoil Lithuania and UAB Lukoil Baltic premises,” the council said in a press release. “[We] have reason to believe that the companies engaged in retail trade in petroleum products and may have violated the provisions of the Competition Act, which prohibits anti-competitive agreements.”
The companies have denied the claims, but welcome the investigation.
“They are doing their job. Our agreement with Lithuania Statoil is impossible, because we all work with minimal margins,” Lukoil’s Baltic region retail director Romas Turlinskas told local media.
Tax exemptions on biofuel were canceled this year, as the government scrambled for funds, pushing prices up. However, prices have been noted to rise not only on biofuel products, but across the board.
The raids on the two companies’ offices are part of the beginning of the investigation. The Competition Council said it didn’t know when the investigation would be finished. [/private_subscription 1 year]
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