Brussels, 12/09/2012 (Agence Europe) - In a public decree published on Tuesday 11 September 2011, a week after the opening of a formal investigation by the European Commission into Russian gas company Gazprom (see EUROPE 10682), suspected of abusing its dominant position on the market and manipulating prices in several countries of central and Eastern Europe, the Russian president, Vladimir Putin, put 'strategic' companies under direct control of the Russian state.
The decree states that any communication by strategic companies of information about business and charges in foreign countries demanded by foreign countries, international organisations and unions is subject to agreement from the government. The state must now authorise any changes in agreements signed by such companies with foreign partners, along with any sales of shares held in foreign companies, rights in foreign business dealings and real estate located outside Russia. A Gazprom spokesperson said that the decree makes it impossible for Gazprom to provide information about its business and price reductions until it has received prior agreement from the competent authorities, and the same goes for any other changes to tariffs.
The European Commission refused to comment on the Russian president's decision, saying that it would do what was required to complete its investigation and would be requesting information from Gazprom and other companies. It will analyse the details of the decree and see how it will affect Russian companies' market operations. (FG/transl.fl)