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Postal services

Cases

Antitrust cases

BdKEP/Deutsche Post AG + Bundesrepublik Deutschland (case COMP/38.745)

An example of the application of competition law to the partially liberalised postal sector is the BdKEP decision, in which the Commission adopted a decision based on Article 86 regarding certain provisions of Germany's postal regulatory framework which bar commercial mail preparation firms from earning discounts for handing over pre-sorted letters at Deutsche Post's sorting centres.


La Poste

The Commission also adopted on the basis of Article 86(1) in conjunction with Article 82, a decision requiring France to monitor the way La Poste provides access to its network to firms specialising in the printing and preparation of mail.


REIMS II (Case COMP/ 38.170)

Another example of the application of the antitrust rules in the sector is the REIMS II exemption decision, whereby the Commission assessed the compatibility of the REIMS II Agreement (Remuneration of Mandatory Deliveries of Cross-Border Mails) with EC Competition Law.


Other antitrust cases classified under the sectoral NACE code I.64 (post and telecommunications)


Merger cases

Belgian State – CVC- Post Danmark- De Post- LA POSTE

An example of a merger that DG Competition has recently cleared in the postal services sector was the merger between the Belgian postal group DE POST-LA POSTE and CVC / POST DANMARK

Other merger cases classified under the sectoral NACE code I.64 (post and telecommunications)


State aid cases

Regarding the application of State aid rules to the postal sector, following the Chronopost case law, the Altmark case law and the adoption of the Community Framework for State aid in the form of public service compensation, the Commission has gone further into the analysis of the accounts of the universal service provider so as to ensure the absence of overcompensation and of cross subsidies. In particular, the Commission has examined the methods applied by the postal operators to allocate costs between universal services and other services and to calculate the financial burden of the public tasks.

"Poste Italiane – BancoPosta" (Case C 49/2004)

In this case, the Commission found out that Poste Italiane's remuneration for distributing postal savings book is similar to what a private investor would have paid. Since this remuneration is market conform, it is also an appropriate estimate of the level of the costs, which a typical undertaking, well run and adequately provided within the same sector would incur, taking into account the receipts and a reasonable profit from discharging the obligations. Therefore the Commission has concluded that the compensation paid by Italy to the Italian post was no aid following the Altmark case law.


"Creation of Banque Postale" (Case N 531/2005)

The Commission has approved the transfer of the banking and financial business of the French Post Office (La Poste) to its subsidiary, Banque Postale. Following a thorough analysis, the Commission has found that the operation as such will not confer an economic advantage on Banque Postale. The French authorities have entered into commitments ensuring this outcome.


Government rural network support funding to Post Office Limited (POL) for 2006-2008 (Case N 165/2005)

The Commission decided not to raise objections to the aid foreseen by the UK authorities to compensate POL’s for the costs of discharging the public service obligations for the period 2006 to 2008, since all conditions set out by the Community Framework for State aid in the form of public service compensation to obtain the exemption were fulfilled. In particular, the amount of the compensation will not exceed the costs of the public service obligation, taking into account all the relevant receipts and a reasonable profit for discharging that obligation.


"State compensation to Posten AB for providing basic payment and cash facility services" (Case N 642/05)

The Commission decided not to raise objections as the compensation paid by the Swedish State to Posten AB for the provision of a service of general economic interest will not exceed the net costs of the public tasks entrusted to it. To check that Posten AB is not overcompensated, the Commission has verified that transfer prices between Posten AB and its subsidiary SKS AB, which is in charge of providing the basic cashier services of general economic interest, comply with the benchmark defined in the Chronopost case law.


"Poste Italiane SpA - State compensation for universal postal service obligations 2000 – 2005" (case NN 51/2006)

In this case, the Commission also decided not to raise objections to compensation paid to Poste Italiane from 2000 to 2005 to meet the costs of fulfilling its public service obligations, as Poste Italiane's net costs for delivering its obligations exceeded the financial support granted by Italy over the relevant period. The assessment was not based on the Community Framework for State aid in the form of public service compensation, but on the provisions in force when the aid was granted, i.e. the 2001 Communication from the Commission on SGEI in Europe.


"France; Recommandation proposant l’adoption de mesures utiles concernant la garantie illimitée de l’Etat en faveur de La Poste" (case E 15/2005).

Besides assessing the compatibility of compensations granted to postal operators for providing services of general economic interest, DG COMP examined whether postal operators were enjoying other advantages. In this case, the Commission sent France a recommendation that it end the unlimited guarantee enjoyed by the French Post office in its capacity as a public body by the end of 2008.


"France; projet de réforme du financement des retraites des fonctionnaires de La Poste française" (case C 43/2006).

The Commission decided to open an investigation into the proposed reform of the French Post office workers' pension fund. The Commission will examine whether the reduction in La Poste's pension costs sought by the reform would not give La Poste an advantage over its competitors.


"DHL – Leipzig – Halle Airport"(case N 227/2006)

In addition to checking that subsidiaries of postal operators active in competitive markets outside the SGEI were not cross subsidized, the Commission ensures that these subsidiaries are not enjoying State aids. For instance, in case "DHL – Leipzig – Halle Airport", the Commission decided to open proceedings to determine whether Land Sachsen and the publicly owned Leipzig Airport have behaved as private investors when providing DHL with infrastructures and guarantees in case of a ban of night flights.

Other state aid cases in the post and telecommunications sector

  
  
Related links
Postal services portal (website on the Single Market)
Antitrust: latest case documents (all sectors)
Mergers: latest case documents (all sectors)
State Aid: latest case documents (all sectors)