Brussels, 18/06/2012 (Agence Europe) - In a decision announced on Monday 18 June, the European Commission has made commitments by Siemens AG and Areva SA to reduce the product scope and duration of a non-compete obligation in the market for nuclear technologies legally binding. The decision was reached after consulting the market players on the commitments offered.
In 2001, Areva and Siemens created the joint venture Areva NP and agreed on a specific non-compete obligation. This obligation was meant to apply for up to 11 years beyond the duration of the joint venture itself. The joint venture came to an end following Siemens' exit in 2009, when Areva acquired sole control over Areva NP. In December of last year, the Commission expressed concerns that the non-compete obligation and a confidentiality clause may infringe Article 101 of the Treaty on the Functioning of the EU (TFEU), which prohibits anti-competitive agreements. It found that “the non-compete clause was excessive as it prevents Siemens competing on markets on which the joint venture only acted as re-seller of Siemens' products, such as conventional islands and certain components for nuclear islands”.
In response to the Commission's concerns, Siemens and Areva offered commitments. They agreed to limit the duration of the clause to three years following Areva's acquisition of sole control over Areva NP in relation to the joint venture's core products and services. They also agreed to remove it completely for all other products and services. The same commitments apply to the confidentiality clause insofar as it has the same effects as the non-compete obligation. (OL/transl.rt)