Brussels, 17/03/2010 (Agence Europe) - On Wednesday 17 March, the European Commission made the commitments offered by the French electricity group EDF legally binding. These commitments were offered in response to the Commission's concerns that EDF's contracts with large electricity consumers may hinder the entry and expansion of EDF's competitors on the French electricity market. The Commission is satisfied with the commitments made by EDF. Competition Commissioner Joaquin Almunia commented, “Today's decision marks an important step towards the effective liberalisation of the French electricity markets to the benefit of large customers and, by extension, the economy as a whole".
In December 2008, the Commission sent EDF a statement of objections fearing abuse of dominant position. At the beginning of November 2009, EDF undertook to ensure that an average of 65% of the electricity it provided was open to competition and that future contracts between EDF and large customers would be for no longer than five years. It proposed two kinds of contracts to its customers, one of which allowing for partial provision with another supplier. This commitment will be binding on EDF for ten years unless EDF's market share drops below 40% for two consecutive years. The EDF has also got rid of restrictions on the reselling of electricity. Groups that are guilty of abusing their dominant position in Europe could be fined up to 10% of their annual turnover. (L.C./transl.fl)