Brussels, 28/08/2001 (Agence Europe) - The European Commission has authorised the Fiat group, through Italenergia, to take control of the Italian electricity company Monetedison and its subsidiaries Edison and Sondel. "The acquisition of sole control by fiat of Montedison does not raise any competition concerns on the Italian electricity market, which is still dominated by Enel. However, the Commission would have to carry out a new competitive assessment of the cae if EdF were to gain a controlling position in Italenergia/Montedison in the future", the Commissioner for competition, Mario Monti stipulates in a press release.
The European anti-trust authorities considered that Fiat's takeover of Montedison would not risk creating a dominant position, in the sense that 70% of the Italian electricity market remains dominated by Enel, against 10% for Monetdison and less than 2% for Fiat (through its subsidiary Fiat Energia, and its joint control of Serene SpA, Sogetel and Ibiriterno Ltda).
Italenergia was created by Fiat, EDF, the Italian banks Intesa BCI, Nuova Holding San Paolo and Banca di Roma, as well as by Carlo Tassara SpA to take sole control of Montedison, the Commission recalls in its press release. Italenergia currently has a 96% stake in Monetidson. The Spokesperson for Commissioner Monti, Amelia Torres, told the press on Tuesday that Fiat currently held a 46% stake in Italenergia, Banca di Roma 11.4% and that the voting rights of the French company EDF on the board had been "voluntarily" (and "I insist on that term", the spokesperson stipulated) limited to 2%, figure corresponding to the limit set by the Italian decree that de facto froze EDF's voting rights in Montedison. The Commission did not therefore have to decide on EDF's participation in the operation, as the French firm has no decisive influence on the board of Italenergia. However, Amelia Torres stresses, "Should it transpire that the Italian decree of 25 May 2001 breach European rules on the free movement of capital", and "should there be changes in the control of Italenergia and Montedison by EDF, the case would again have to be notified to the Commission".
The services of the Commissioner for the Internal Market, Frits Bolkestein, should decide "between now and the end of the year" on the decrees adopted by Italy and Spain to limit the share of traditional operators in the gas and electricity sectors of other Member States in the capital of privatised companies. According to corroborating sources, the Commission should even decide on this chapter of the affair this autumn still.
The European competition services will, moreover, have to decide on whether or not to open a formal enquiry on French State aid to EDF. Following a complaint lodged by Montedison in May on this third aspects of the case, the Commission sent out a request for information to France in July, and France now has until September to respond. At the end of this preliminary enquiry, the Commission may either classify the affair or open a formal enquiry, Amelia Torres recalls.