Home News & Events COMPETITION LAW NEWS: Malta before ECJ on Airport Fuel Liberalisation

COMPETITION LAW NEWS: Malta before ECJ on Airport Fuel Liberalisation

Wednesday, 16 February 2011 23:45

The European Commission today decided to refer Malta to the European Court of Justice (ECJ) for allegedly breaching EU Competition rules about fuel ground handling services at Malta International Airport.

Following various warnings issued by the Commission over the past years, the EU executive decided to move to the last stage of its legal procedures on this issue against Malta. It contends that “incorrect application of the rules results in a lack of effective competition for the supply of fuel at the airport of Luqa, possibly leading to additional costs to airlines and, ultimately, passengers.

Aviation fuel is currently supplied by Enemalta, a fully state owned corporation which also owns the storage facilities. Following the libearlisation of the market in 2004, Shell had also tried to penetrate the aviation fuel market by providing  its services at the only airport in Malta ... but Shell has claimed that Enemalta is preventing it through uncompetitive measures to carry on with its undertaking. According to EU rules, the ground handling services market at airports is to be open to competition allowing same level playing field, including the checking in of passengers, handling of baggage and refuelling of aircraft.

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