Brussels, 15/01/2002 (Agence Europe) - The European Commission has approved the creation of European Hydro Power (EHP), a joint electricity production company between E.ON, Germany's second largest energy company, and Verbund, the main Austrian electricity producer. The new undertaking will group most of the hydro power facilities of both partners. It will be held at 60% by Verbund and at 40% by E.ON. It will comprise 200 hydro-electric power plants of a total power of around 9600 MW, and will employ 2,500 in Austria and Germany. EHP will not be directly active on the market but will deliver all its hydro power production to its parent companies in proportion to their shareholdings. The Commission inquiry showed that the creation of EHP would not restrict effective competition on the Austrian and German energy markets as the market position of the parent companies will not be appreciably altered. In addition, E.ON and Verbund will also market the electricity produced by EHP separately.