The transaction under assessment concerns the relevant hydrogen (production and supply) markets, the market for the generation/supply of electricity in general and, in particular, from Renewable Energy Sources (RES) as an upstream market for the production of green hydrogen from renewable energy sources through electrolysis and the oil refining market as a downstream market, namely as an end use of the green hydrogen produced.

Decision on the notified concentration, pursuant to Articles 5-10 of Law 3959/2011, as in force, concerning the creation of a joint venture through the acquisition of joint control by the companies under the names “MOTOR OIL (HELLAS) REFINERIES S.A.” and “PUBLIC POWER CORPORATION S.A.” following the Statement of Objections under ref. no. 9455/24.10.2022 by the Commissioner-Rapporteur I. Stefatos.

Articles 6-8,  Law 3959/2011

Operative part of the Decision

The Hellenic Competition Commission unanimously approves, according to Article 8 (3) of Law 3959/2011, the notified concentration concerning the creation of a joint venture by PPC and MOTOR OIL, considering that, although falling within the scope of article 6(1) of Law 3959/2011, it does not raise serious concerns as to its compatibility with competition rules in the individual markets concerned.

1. MOTOR OIL (HELLAS) REFINERIES S.A.
2. PUBLIC POWER CORPORATION S.A.

As reflected in its Decision, the Hellenic Competition Commission considered that the hydrogen production market in Greece is currently immature as still taking shape and any specific forecasts about its future structure and operation, including any prevailing competitive conditions, would, at this stage, be precarious as well as that the new entity’s competitors will probably enter this market in the future and, therefore, the concentration assessed is not expected to have an appreciable effect at a horizontal level in the immediate future. At a vertical level, no foreclosure ability or incentive seems to exist: (a) customer foreclosure of the parent PPC’s competitors in the market for the generation and wholesale supply of electricity (mainly from RES) nor b) input foreclosure of the Target Company’s competitors in the market for hydrogen generation. Similarly, no foreclosure ability or incentive seems to exist at a vertical level: (c) customer foreclosure of the Target Company’s competitors in the hydrogen production market nor d) input foreclosure of the parent MOTOR OIL’s competitors in the refining market and the parent PPC’s competitors in the electricity generation market.