Coal deals fine for freight firm

Rail freight operator EWS was today fined £4.1m (€6m) following complaints about anti-competitive behaviour in 2001 and 2002.

The Office of Rail Regulation (ORR) said EWS concluded contracts with terms that had the effect of excluding competitors from the market for coal haulage.

It also said it had pursued “discriminatory and predatory” pricing practices in the same market.

ORR undertook its investigation into EWS’s conduct following complaints from Enron Coal Services in 2001 and Freightliner Heavy Haul in 2002.

The regulator ruled in May 2004 that it was minded to make an infringement decision. It then received detailed representations from EWS in response to that notice.

EWS, which is the largest rail operator in the UK, said today it accepted the findings and added that management procedures had been put in place to ensure compliance with the Competition Act.

A statement from the ORR said the co-operation of EWS had been taken into account when setting the penalty of £4.1m (€6m).