Bangkok, 18 Oct.-RDTC approves BCP merger with ESSO, sets 6 consumer protection conditions
Mr. Somsak Kiatchailak Vice Chairman of the Trade Competition Committee revealed that the Trade Competition Commission (VorKhor.) considers a business merger request between Bangchak Corporation Public Company Limited and Esso (Thailand) Public Company Limited. trade competition taking into account the facts and legal issues under Section 52, paragraph two of the Trade Competition Act B.E. B.E. without causing serious damage to the economy It also does not affect the important benefits that should be gained by consumers as a whole. However, such business merger may affect the fuel and petroleum products market including the supply chain As the merger results in a change in the market structure in the refinery market. wholesale market of various petroleum products and retail market of petroleum products through service stations. As a result, the concentration of the market increased. and lead to potential impacts from the business combination. This is considered a significant reduction in competition. But not to the extent that it caused serious economic damage. Therefore, a business merger should be permitted by specifying the period and conditions for the business merger authorization. To mitigate the impact that may occur from the business combination.
By virtue of Section 17 (15) in conjunction with Section 51 paragraph two and Section 52 paragraph three of the Trade Competition Act B.E. 2560, the Trade Competition Commission Therefore, there is an order permitting business merger between Bangchak Corporation Public Company Limited and Esso (Thailand) Public Company Limited, by specifying the terms and conditions that business operators who are permitted to merge businesses must comply as follows: this
Bangchak Corporation Public Company Limited is prohibited from increasing the shareholding percentage of government agencies for a period of 5 years from the completion of the merger. unless otherwise provided by law
Allow Bangchak Corporation Public Company Limited to purchase more than 50 percent of crude oil from any trading partner for a period of 5 years from the date of business integration. to reduce excessive reliance on crude oil from any one supplier which may pose a risk to energy security Except for crude oil procurement from business operators who are related to policies or orders of Bangchak Corporation Public Company Limited.
In this regard, Bangchak Corporation Public Company Limited is required to report the results of the previous year's crude oil procurement to the Trade Competition Commission. within the first quarter of the following year
The Bangchak Corporation Public Company Limited shall maintain the terms of the contracts and agreements made between customers in the wholesale petroleum products market with Esso (Thailand) Public Company Limited until the expiration of the terms specified in the contract. original contract
However, if there is a change in the terms of the contract and the agreement The prior written consent of the customer in the petroleum products wholesale market is also required.
Let Bangchak Corporation Public Company Limited maintain the terms of the contract and agreement between the ESSO-branded service station operator that it entered into with Esso (Thailand) Public Company Limited until the expiration of the specified period. Conditions in the original contract
However, if there is a change in the terms of the contract and the agreement Prior written consent must also be obtained from the operator of the external service station of the ESSO brand.
In the event that an operator of an external service station under the ESSO brand has proven facts that it was affected by the business merger between Bangchak Corporation Public Company Limited and Esso (Thailand) Public Company Limited, it can be used as a reason for The contract can be terminated. This must be notified in advance within 90 days from the completion of the business merger.
Let Bangchak Corporation Public Company Limited prepare a plan to develop environmental innovation and green energy business. The project must be implemented no less than the previous year. And there must be a budget for implementing projects related to green energy promotion and environmental management. no less than last year continuously for a period of 5 years from the date of business integration to maintain the level of environmental innovation development This is beneficial to innovation competition and beneficial to consumers. along with preparing guidelines, time frames for implementation, indicators and to follow such plans. The action plan must be prepared and presented to the Trade Competition Commission within 90 days from the completion of the business merger. and report the results of the previous year to the Trade Competition Commission within the first quarter of the following year.
Have Bangchak Corporation Public Company Limited prepare a plan to pass the benefits obtained from the business combination to consumers and society. The project must be implemented at least in the previous year for a period of 5 consecutive years from the date of business merger completion. To guarantee the transfer of benefits to consumers and society. This includes small and medium business operators (SMEs) as well as preparing guidelines. Implementation time frame, indicators and to follow the said plan. The action plan must be prepared and presented to the Trade Competition Commission within 90 days from the completion of the business merger. and report the results of the previous year to the Trade Competition Commission within the first quarter of the following year.
In this regard, business operators permitted to merge businesses shall comply with the above terms and conditions for merging business permits from the business merger completion date. And there must be a written report on the results of the business merger to the Trade Competition Commission within 30 days from the date of the business merger completion. and in the event that the business operator who has been notified of the order of the Trade Competition Commission disagrees with this order Have the right to file a lawsuit with the Administrative Court within 60 days from the date of receipt of the order.
Source: Thai News Agency