The Association of Oil Companies of Montenegro has formally requested an investigation from the Agency for the Protection of Competition into alleged abuse of market dominance by Jugopetrol. The association, comprising around 15 gas station owners, claims Jugopetrol is engaging in unfair practices by refusing to sell oil derivatives to some companies or offering them at higher prices compared to other suppliers. This alleged behavior is believed to be aimed at stifling competition in the retail petroleum market, forcing competitors to either import fuel at higher costs or accept less favorable terms from Jugopetrol.
Jugopetrol responded to the allegations, stating to “Vijesti” that they had not been informed of the initiative and that they adhere strictly to Montenegro’s laws, committing fully to fair competition practices. The Agency for the Protection of Competition confirmed receipt of the complaint and stated that it will review the documentation to determine if Jugopetrol is indeed exploiting its dominant market position to harm competitors.
The initiative submitted by the association highlights several instances of alleged abuse. It cites an incident on July 1, when Jugopetrol reportedly refused to deliver petroleum products to the companies ‘Euro Petrol CG’ from Podgorica and ‘Kallaba Company’ from Ulcinj, despite having a contract and timely reported quantities. These companies were allegedly denied loading orders for that day while Jugopetrol fulfilled orders for other wholesale customers, leading to claims of selective delivery and breach of contractual obligations.
Additionally, the association points to price discrimination on January 11, when Jugopetrol allegedly offered significantly worse terms to the company ‘IK REAL’ for an annual supply of goods compared to offers made to other market participants. The company is accused of providing a rebate of EUR 0.06 per liter for Eurodiesel and unleaded gasoline, and EUR 0.95 per liter for fuel oil, which were markedly inferior to those offered to other buyers.
The case reflects ongoing concerns about market practices in Montenegro’s oil sector and the need for regulatory oversight to ensure fair competition.
