Brussels, 05/02/2010 (Agence Europe) - On Friday 5 February, the European Commission authorised the proposed acquisition of Transpower Stromübertragungs GmbH (TPS), a fully-owned subsidiary of E.ON, by TenneT of the Netherlands. TPS is one of the four electricity transmission system operators (TSOs) in Germany. TenneT is the only TSO in the Netherlands. TenneT operates the Dutch national extra-high and high voltage electricity transmission system. TPS operates extra-high voltage lines and associated transformer stations in Germany.
The Commission examined the competitive effects of the proposed transaction, notably the horizontal overlaps between TenneT and TPs relating to the crossborder transmission of electricity through interconnectors. The Commission found in its investigation that the proposed merger would not affect the competitive conditions in the relevant markets. “TenneT is a wholly unbundled transmission system operator and therefore would have no incentive to allocate capacity in a way that discriminates in favour of any other market player”, the Commission explains in a press release. It adds that the proposed acquisition derives from E.ON's commitment to the Commission to separate and subsequently divest its transmission system business, in compliance with a Commission decision of 26 November 2008 taken in application of EU rules on abuse of dominant position, opening up the German electricity market to competition. (L.C./transl.jl).