ESA investigates possible breach by Norway of EEA competition rules over exclusive rights granted to power exchange Nord Pool

The EFTA Surveillance Authority (ESA) has sent a letter of preliminary objections to Norway regarding the exclusive right of the Nord Pool Group to organise electricity auctions, including the capacity of the submarine power cable between Norway and the United Kingdom. 

In July 2022, ESA received a complaint against Norway alleging an infringement of EEA competition rules. Norwegian authorities granted Nord Pool, the former incumbent, the exclusive right to organise the day-ahead electricity auction including the North Sea Link (NSL) interconnector’s capacity. The latter links the electricity markets of the United Kingdom and Southern and South-Western Norway (bidding zone NO2).

ESA concludes on a preliminary basis that the measures, taken by the Norwegian Energy Regulatory Authority (RME), created an inequality of opportunities for economic actors in the Norwegian market for electricity trading facilitation services. In ESA’s preliminary opinion, this maintains or strengthens Nord Pool’s already dominant position in that market to the detriment of new entrants.

Based on the information available, ESA’s preliminary assessment concludes that the measures have anti-competitive consequences and that Norway has infringed Article 59(1), read in conjunction with Article 54 of the EEA Agreement. 

Following the issuance of today’s letter, Norway is now invited to respond to ESA’s preliminary concerns within two months before ESA decides whether to take the case further. The sending of this letter does not prejudge the outcome of the investigation.

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