UEIL News: the role of UEIL’s Competition Committee Lubricants and EU competition law: a risk of restrictive practises?
European free trade laws have, over the years, created a climate which has encouraged open competition and technical innovation across the market. In the field of lubricants, this has resulted in improved quality and value for consumers.
E.C. Regulation 1475/90 ensured that the consumer had continuing freedom of choice. But, the inclusion and classifi- cation of lubricants as a spare part under EC 1400/2002 regulation created a situation whereby OEM’s could legally command up to 30% of the market through contracts.
Although this implies that still 70% of the market would be freely traded, in fact (because of the manner in which lubricants are purchased in practice), a situation could arise whereby a single “approved” supplier can provide 100% of the required lubricants.
The practice of giving lubricants a spare part number, together with an apparent reluctance by some OEM’s openly to offer or provide specifications, has created a climate where some allegations of restrictive practices are being expressed by some lubricant companies.
Such restrictive practises, if proven, would result in significant obstacles to ‘Freedom of Choice’, (which is the main purpose of the E.U. regulation) for lubricant users
Aims of the UEIL Competition Committee 1. To maintain freedom of choice for all users of lubricants (whatever the application) as long as they meet OEM requirements.
2. To encourage all who specify lubricant standards to use the latest universally available specifications such as current ACEA requirements.
3. To promote the usage of any and all lubricants that satisfy applicable OEM requirements and make sure that fair competition applies throughout the lubricant industry.
Procedures for UEIL Competition Committee action 1. Under the European Regulation, it should be possible for any user to use the lubricant of his/her choice - provided it is manufactured to meet the correct specifications - even during the warranty period, the only exception being for those repairs made under warranty.
2. It is up to member companies of UEIL to provide the UEIL Competition Committee with evidence of breaches of fair practice within the market.
3. In order for the Competition Committee to investigate them, all claims of restricted practice within the automotive lubricants field must be supported by written evidence. The committee will (so far as the law permits) keep such evidence confidential.
If you wish to maintain ‘Freedom of Choice’ may we suggest you contact your National Representative at the UEIL Competition Committee if you come across any allegations of restrictive practice in the sale and use of lubricants?
Members can refer any claims to the UEIL Competition Committee by using the link below.
UEIL Competition Committee Link
UEIL email:
NP@fedichem.be
UEIL Health and Environment Committee
The first UEIL Health and Environment Committee Meeting of 2007 was held at the new UEIL offices in Brussels on 26th March. Typically this meeting would take place early in the New Year, but for various reasons the meeting had been delayed until late into the first quarter.
There was a significant turnout for the meeting with delegates from Italy, France, Germany, UK, Netherlands and Belgium. The main discussion topics included the labelling issues related to formaldehyde and boric acid and presentations on these subjects were provided by Bode (Dr Anker) and Rio Tinto Minerals (Dr Rickard)
The meeting was centred for a large proportion of the time on issues related to REACh and in particular the position of metalworking fluids within this subject. It was agreed that a separate working group would be set up to examine the registration issues related to the components of metalworking fluids and an invitation sent out to interested parties.
Under the REACh subject heading, there was also discussion concerning ‘exposure scenarios’. UEIL will consider the proposals for lubricants ‘groupings’ as discussed with other European trade associations.
30 LUBE MAGAZINE JUNE 2007
There was also further discussion concerning the UEIL involvement in a proposed ILMA Metalworking Symposium in late 2008. UEIL, through the Health and Environment Committee, has been taking an active involvement in the development of the programme and will lead European activity in this projected conference.
An update of the UEIL web site was also on the agenda along with discussion about the recent position papers added to the Health and Environment Committee section.
Finally, for the next meeting, it was agreed that risk assessment for polysulphides and the EHS issues associated with nano- lubricants, would be added to the agenda.
The next meeting will take place in Amsterdam (venue to be agreed) on Thursday 5th July.
For further information contact Chairman, Robert Stubbs at
rstubbs@polartech.com or Communication Secretary, Nathalie Poissonnier at
np@fedichem.be
R.M.Stubbs Chairman, Health and Environment Committee, UEIL
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