MOL promised to co-operate with the GVH, but made no further comment.

Retail fuel prices climbed to record highs this week. One litre of 95-octane was selling for Ft 343, and diesel for Ft 324.

Prices have gone up by Ft 30 and Ft 29, respectively, so far this year, although this can be attributed to higher excise taxes and fluctuations in the forint/dollar rate, state news agency MTI notes. These two factors and global crude prices are the main components in the price.

The GVH has six months to complete its inquiry, with an option to extend that by another six months on two occasions.

MOL would have to pay 10% of its net revenue if the GVH finds that the company abused its position, Napi Gazdasag writes.

The GVH has twice initiated inquiries into MOL's pricing strategy in the last ten years, once in 2000 and again in 2004. In both cases, the competition watchdog found no fault in MOL's pricing, although the investigations revealed that that the company had a dominant position in the wholesale market."

Source: Hungary Around the Clock.

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