Investigation into whether SSE has infringed the requirements of Chapter II of the Competition Act 1998 and/or Article 102 Treaty on the Functioning of the European Union in respect of points of connection

Opened:
Dec 2014
Decision Proposed:
Jun 2016
Closed:
Nov 2016
Company:
SSE
Regulation Area:
Competition Act and Powers
Breach Area:
Competition

The Gas and Electricity Markets Authority (the “Authority”) has confirmed its decision to formally accept commitments from SSE in relation to its investigation. The investigation looked at whether SSE had infringed Chapter II of the Competition Act 1998 and/or Article 102 Treaty on the Functioning of the European Union by abusing a dominant position and putting its competitors at a disadvantage in the electricity connections market in the area covered by SSE’s electricity distribution network in the south of England.

On 22 June 2016, the Authority announced its proposal to accept commitments from SSE in relation to the investigation. Five responses to that consultation were received. 

On 3 November 2016, the Authority decided to formally accept SSE’s commitments. The accepted commitments address the competition concerns that the Authority had identified during the course of the investigation. The alternative to accepting commitments would have been to continue the investigation. This would have required the use of significant additional resources before being able to determine whether there had been an infringement of the Competition Act.

Formal acceptance of the commitments by the Authority means that the investigation has been closed. No decision has been taken on whether or not SSE plc had infringed competition rules. The commitments are binding and enforceable under section 31E of the Competition Act 1998.

Further details of the accepted commitments can be found in the Notice of decision to accept binding commitments from SSE plc.