National Markets and Competition Commission has filed a sanctions case against Repsol and other representatives of the oil sector for alleged abuse of dominant position through price manipulation in the wholesale fuel market. The action follows prior registrations against Cepsa and BP, as well as Repsol’s headquarters, initiated a little over a year ago after a complaint by the National Association of Automated Service Stations and the Association of Independent Hydrocarbon Marketers. The case is part of ongoing scrutiny of competitive practices in Spain’s fuel sector.
The events trace back to March 2022, amid the broader geopolitical shock of Russia’s invasion of Ukraine and the government’s response with targeted fuel discounts. A government incentive of twenty eurocents per liter was offered at the pump, applied directly at the point of refueling. Large operators, including Repsol, Cepsa, and BP, layered additional discounts on top of the public subsidy when customers paid with the companies’ own cards or mobile apps. As a result, major groups effectively advertised a minimum discount of thirty cents per liter across a network of service stations, composed of the government’s twenty cents plus a ten-cent premium from the oil groups themselves.
Repsol’s chief executive, Josu Jon Imaz, characterized this discount as an investment in customer loyalty and brand affinity, not a simple expense. The Waylet app, in particular, saw user growth from about two million before the war to more than seven million today. This strategy created a competitive edge by leveraging both retail outlets and the company’s refinery capacity. In the eyes of the competition authorities, the approach may have pressured independent fuel suppliers and potentially distorted market dynamics. The result was a scenario in which large operators could sustain higher wholesale prices while simultaneously offering deeper consumer incentives, thereby challenging independent stations and their ability to compete.
Experts point to a situation described as a strategic squeeze, where the combination of high wholesale pricing for independents and consumer-facing discounts at the retail level could erode the market share of independent service stations. The competition agency noted that Repsol’s position in the wholesale market, if proven, might represent an anti-competitive strategy that dents the margins of rivals and restricts competition in both distribution and retail sectors. This analysis underscores concerns about the potential exclusion of third-party competitors and the risk to overall market vitality, as explained by figures associated with the regulatory body guiding the case.
Antoni Brufau and Repsol have rejected the sanctions file, insisting that the company does not hold a dominant position in the Spanish fuel market and that it fully complies with competition rules. The company emphasizes its extensive efforts to assist customers through discounts and argues that the price spikes are primarily a consequence of the Ukraine conflict rather than company conduct. Repsol cites substantial investments in consumer relief, noting that more than five hundred million euros have been allocated to discounts across Spain’s service stations. The firm asserts that the CNMC inquiry is an initial step toward a potential resolution and insists that any outcome will reflect the broader context of wartime pressures on energy prices.
The competition authority has clarified that the case does not prejudge the final outcome and that the investigation could extend over the next two years. As the process unfolds, stakeholders in Spain’s energy market will be watching closely how the agency weighs competitive practices against the need to support consumers amid ongoing price volatility and supply disruptions. The case underscores the delicate balance between encouraging innovation and loyalty programs and preserving fair competition in a sector characterized by complex wholesale and retail dynamics.