INEOS Chlor welcomes EU commitment to correct failings in energy markets
INEOS Chlor has welcomed today's announcement that Neelie Kroes, the EU Competition Commissioner, has initiated ‘more intensive anti-trust enforcement' as part of the Commission’s ongoing investigation into the EU energy sector.
The Company welcomes specifically the move by the Commission to investigate possible violations of EC Treaty Rules, particularly in relation to restrictive business practices that may have resulted in a lack of market competition, reduced energy flows and artificially inflated prices.
As one of the UK's largest energy consumers, INEOS Chlor has been severely affected by huge rises in UK gas prices during the winter and has stated repeatedly its view that the structure of the European gas market is flawed and inadequately regulated.
Chris Tane, CEO of INEOS Chlor, said: “We have been saying for more than 18 months that the European gas markets are not operating effectively and that as a direct consequence the UK in particular is suffering excessive energy prices. We were sadly proved right this winter, when UK gas prices became the highest in the world and yet normal supply and demand mechanisms failed to operate. Whilst European energy prices are also high, the impact on industrial and domestic consumers in the UK has been, and continues to be, particularly acute.
“We are pleased to see that Commissioner Kroes is taking action, and that, in the UK, OFGEM has committed to provide full support to this ongoing investigation. We, along with other energy-intensive producers in the UK, will continue to contribute to this process.”
Noting that the Commission also intends to launch individual anti-trust investigations to establish whether market operators have worked to keep prices high, Mr Tane said: “We will follow this investigation with great interest and we hope that if evidence of illegal behaviour is found, the Commission will take swift action.”
For further information please contact:
Janet Ward, INEOS Chlor Press Office
Phone: 01928 515227