Polish competition authority UOKiK has imposed the maximum penalty on the six companies backing the 55bn m³/yr Nord Stream 2 gas pipeline project. Russia's state-controlled Gazprom plans to appeal the decision.
UOKiK imposed penalties equalling 10pc of the firms' annual turnover — the highest possible fine under Polish competition law. The companies facing fines are Gazprom and Nord Stream 2's five European backers — Austria's OMV, Germany's Uniper and Wintershall, France's Engie and Shell. The firms breached Polish and EU competition laws, according to the competition authority.
The fine is as much as 29bn zlotys ($7.6bn) in the case of Gazprom, and 30mn-87mn zlotys for the other five firms.
Gazprom and its partners in 2015 filed an application to UOKiK for approval to create a joint venture to build Nord Stream 2. When UOKiK refused to approve the plans, Gazprom withdrew its application and decided to build the line itself by creating a subsidiary, with financing from its European partners.
The Polish authority argues that this move was an attempt to bypass Polish and EU competition laws.
Gazprom today said it disagrees with UOKiK's ruling and intends to appeal.
Companies can appeal UOKiK decisions at Poland's competition court. Fines will not be formally imposed until the appeals process is completed.
Gazprom said it will appeal as it "did not violate the anti-monopoly legislation" of Poland. The unprecedented size of the fines imposed by UOKiK "indicates a desire to oppose the implementation of the Nord Stream 2 project by any means", Gazprom said.
Poland strongly opposes Nord Stream 2, seeing it as a threat to its gas transit role and the competitiveness of gas supplies.
UOKiK had already in November 2019 fined Engie 172mn zlotys for refusing to co-operate in the investigation. A fine of €50mn was imposed on Gazprom for the same reason in August this year. In each case, the companies appealed to the competition court, UOKiK said.
