CMA warns EV charging companies

In an open letter to electric vehicle chargepoint operators and motorway service area site operator, the Competition and Markets Authority (CMA) has highlighted its concerns about very limited competition along motorways.

Jennifer Halliday, the senior director, advocacy and external engagement, has written the letter to remind chargepoint operators (CPOs) and MSA site operators of the CMA’s market study findings on motorway charging, and of their ongoing obligations under competition law. The CMA notes the increased sector-led activity and investment at MSA sites, noting that these developments include some single CPOs applying for electricity grid capacity at MSA sites, with MSA site operator consent, with the potential result in a small number of CPOs controlling access to electricity grid capacity at those MSA sites, which could limit competition from new entrants and lead to one or a few incumbent CPOs at MSA sites.

The CMA has already investigated suspected breaches of the Competition Act 1998 in relation to the supply of EV chargepoints on or near motorways. This followed concerns that such lengthy exclusivity arrangements for the supply of EV chargepoints would foreclose other CPOs from entering the market.

The letter states: “While we welcome increased private investment and efforts which help to boost charging infrastructure along motorways, it is critical that this investment is carried out in a way that is compliant with competition law and ensures operators can enter and compete fairly. Arrangements which lead to long-term exclusivity between CPOs and MSA site operators and/or incumbency of a single operator at a site or across multiple sites, could breach competition law.”

The letter ends by saying that the CMA will continue to monitor charging along motorways and the sector more broadly, across the UK and will also consider intervening using all tools at its disposal – which include taking enforcement action – where further action is needed to improve competition.



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