Competition Council Probes Water Institute for Dominant Position Abuse

The Competition Council conducted an unannounced inspection at the headquarters of the National Institute of Hydrology and Water Management (INHGA) as part of the investigation into a possible abuse of a dominant position on the hydrological data supply market.

INHGA is the only entity that can provide the data necessary to conduct ecological flow studies. At the same time, INHGA specializes in conducting ecological flow studies. These studies are necessary to establish, for each month of the year and for each dam or reservoir, the minimum amount of water that must be provided downstream of this dam/reservoir so as to maintain the natural living conditions for aquatic ecosystems.

The Competition Authority has indications that INHGA has prevented companies active on this market from accessing its hydrological databases, thus eliminating competition on the market for studies for determining and calculating hydrological flows. The investigation was initiated following a complaint made by a company active in the water flow studies market.

The unannounced inspections are authorized by the Bucharest Court of Appeal and are justified by the need to obtain all the information and documents necessary to clarify the possible anti-competitive practice under analysis. The documents collected during the inspections are being analyzed by the Romanian competition authority, within the specific investigation procedures. The unannounced inspections constitute a preliminary stage of the investigation, and their performance does not represent a preliminary ruling by the Competition Council regarding the violation of the Competition Law.