RAPSI reported that the European Commission antimonopoly investigation of Gazprom will touch eight countries that joined the EU between 2004 and 2007 including Bulgaria, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland and Slovakia. They are either former Soviet republics or former Council for Mutual Economic Assistance countries.

Gazprom stake in their power balance ranges from 60% to 100%. The investigation does not deal with the common EU market.

Mr Vladimir Chizhov Russia permanent representative to the EU said the investigation was announced last week and addresses the company activity in these eight markets. He noted that three accusations have been made against Gazprom including pegging gas prices to oil which is the strangest in his opinion.

Mr Chizhov said the price formula better known as the Groningen formula was developed in 1962. No one has come up with a better formula since.

He said that "Only coal and gas have a global market while neither gas nor electricity has a global market. Thus, it is senseless to compare pipeline gas prices and tanker liquefied natural gas prices.”

Source - rapsinews

(www.steelguru.com)