Brussels, 17/08/2005 (Agence Europe) - The European Commission has decided to approve the proposed acquisition of joint control over the Italian energy company Edison by Electricité de France (EDF), the French electricity incumbent, and AEM, an Italian energy company. Commissioner Neelie Kroes stated “We found that the proposed concentration does not raise competition concerns. We will however continue to monitor the competitive dynamics of the Italian electricity markets, where prices are among the highest in Europe, in particular in the framework of the sector inquiry launched in June.” EDF is controlled by the French State. It has almost no power plants in Italy, where it is mainly active via imports from the Northern borders. AEM is controlled by the municipality of Milan. Its electricity production capacity, is mainly in the North of Italy. The Commission pointed out that Edison is the second electricity generator in Italy, with production capacity which is also mainly located in the North of the country. Edison's position in the Italian electricity markets is however quite small if compared to that of Enel. The Commission showed however that the notified transaction would not bring major changes in the competitive structure of the markets concerned and would not significantly impede effective competition.