Liquefied Petroleum Gas (“LP Gas”) is the main fuel used by families and businesses in Mexico. Only from January to June of this year, the value of total LP Gas sales was more than 36 billion pesos, according to the National Survey on Energy Consumption in Private Homes.  

The market for the importation, commercialization, transportation, storage, distribution and retailing of LP Gas becomes relevant since it is part of the energy sector, which impacts multiple economic activities such as food production and the service sector.

Having said the above, the Federal Economic Competition Commission (“COFECE”) notified an economic agent for its possible responsibility in price discrimination in the market, as well as goods and services related thereto.

COFECE stated in its opinion of potential liability that it was aware of the possible existence of a practice prohibited by the Federal Antitrust Law (“LFCE”), which involves establishing different prices or conditions of sale or purchase for different sellers or purchasers under equivalent conditions.

This notice initiates the trial stage of the proceeding, in which the responsible party may state what it deems appropriate and offer evidence related to the alleged accusations made against it, so that the COFECE Plenary may resolve the matter in accordance with the law.

According to the LFCE, if the existence of a relative monopolistic practice is proven, the Commission would order the correction or elimination of the illegal practice, while the economic agent could receive a fine of up to 8% of its revenues.

If you have questions or require additional information regarding this communication, please contact info.rapa@rapa.mx .