Abuse of dominant position by Greater Paris water suppliers

Conseil de la concurrence decision (30 pages in French, PDF) finding two infringements of the French equivalent of the Article 82 prohibition by water companies in the Greater Paris region. Lyonnaise des Eaux was found to have abused a dominant position in the bulk supply of water in Essonne near Paris in 1997 through a price squeeze between its concession offer to a municipal authority and the bulk supply prices it offered to competitors for that concession. The Syndicat des eaux de l'Ile-de-France (Sedif), the main incumbent bulk water supplier in Greater Paris, was found to have abused a dominant position in 1999 by putting pressure on the elected Paris city council to prevent its water supply company Sagep from offering a supply to the Marché de Rungis, a large water user located close to a Sagep aqueduct.

Update, 28 September 2006: appeal court judgment (11 pages in French, PDF) confirming the Conseil's infringement decision and extending it to the case of some local authorities for which the Conseil thought the evidence insufficient to make a finding of abuse.

For further information or advice please contact Franck Latrémolière.

Filed under Article 82, Conseil de la concurrence, France, Water.

Reckon LLP is an economics consultancy with expertise in data analysis, economic regulation and competition law.

About Reckon