Dr. Mattias Ganslandt and MSc Gunilla Rönnholm at the Center for European Law and Economics have within the frame of the Swedish Competition Authority’s commissioned research, analyzed the effects of mergers and acquisitions in the retail market for gasoline in Sweden. This study describes and analyzes the extent to which mergers and acquisitions in the retail market for gasoline in Sweden have had a noticeable effect on prices and margins for gasoline and diesel. The main objective of the study is to examine how consumer prices have been affected by the increased market concentration, especially after Statoil’s merger with Hydro in 2007 and StatoilHydro’s subsequent acquisition of the JET stations in 2008-2009. Continue reading
In a recent commissioned report for the Swedish Competition Authority, Professor Jerker Holm at Lund University, argues that introducing price regulation in the District Heating market is risky, difficult and a challenging task. Professor Holm stresses that the ongoing political and legal work related to price regulation of District Heating in Sweden must be based on sound economic principles and regulatory caution. Continue reading
A new report recommends that the state-owned Swedish National Transmission Company (Svenska Kraftnät) is given the task to guarantee a minimum transmission capacity of 4 000 MW to the southernmost region and to initiate tests with auctions of Contracts for Differences. Continue reading
The Swedish regulation of public service broadcasting will be changed to open for competition between technologies . Continue reading
This week CELEC’s Vice Chairman, Professor Lars Henriksson, discusses the recent ruling of the Swedish Market Court against KIA Motors and the tensions which it highlights. The case finds that KIA Motors’ seven year warranty policy – which entails that a warranty is only maintained if the customer uses an approved dealer or repairer – restricts competition in the after-sales market and hence should be prohibited. However, this is in contradiction with the SCA assessment, who decided not to proceed, and raises the question of whether there is a disparity between the two institutions’ interpretation of the law.
A recent investigation by the Swedish Competition Authority (SCA) into a merger between Bokia and Akademibokhandeln concluded that the change in market concentration would not harm effective competition. Continue reading