Russian antitrust ministry to fine Gazprom Neft over fuel prices

The Federal Antimonopoly Service of Russia has accused gas giant Gazprom’s subsidiary Gazprom Neft of selling fuel at hiked prices, the Service said on its website Thursday.

According to the antitrust service, in the first half of 2009 Gazprom Neft violated antimonopoly legislation by abusing its leading position in the gasoline, diesel and aircraft fuel markets.

Gazprom Neft will now have to pay a fine, although the Federal Antimonopoly Service has not named the exact amount. The service’s head earlier told Interfax that the fine may amount to 2% or 3% of the company’s annual turnover for 2008.

The maximum fine for breaching antimonopoly legislation can be up to 15% of the company’s annual profits.

This is not the first time Gazprom Neft has been caught breaching antimonopoly laws, the antitrust service said.

In late 2008 the Federal Antimonopoly Service fined Russia’s four largest oil companies: Rosneft, Lukoil, TNK BP and Gazprom Neft. Then Gazprom Neft was ordered to pay 1.3 billion rubles ($41 million) and is currently trying to appeal the fine in a court of arbitration.