The OFT has launched a formal investigation into the distribution of road fuels in the Western Isles of Scotland by GB Oils Limited.
The investigation is under Chapter II of the Competition Act 1998 and relates to suspected abuse of a dominant position in the relevant market.
The subject matter of the investigation concerns the contractual arrangements for wholesale supply of road fuels in the Western Isles offered by GB Oils, the rebates paid to filling station customers in the Western Isles by GB Oils and any other payments that may have been made to filling station customers in the Western Isles by GB Oils.
The OFT emphasised that the case was at an early stage and no assumption should be made that there had been an infringement of competition law.
It also said the current investigation does not relate to excessive pricing and has not been prompted by the OFT’s previous review of pricing, Petrol and Diesel Pricing in the Scottish Islands, which was published in May last year.
In its timetable for the investigation OFT says it will gather evidence for the rest of January and into February, analysis of the evidence is expected to take place in February and March, and a decision on whether to proceed with the investigation or close it is expected in April.