Conseil de la concurrence interim measures on EDF

Conseil de la concurrence decision (14 pages in French, PDF) directing EDF to clarify its terms and conditions for electricity supply to business customers in France, particularly any early termination fees. The Conseil considered that clarification was necessary to prevent an undue barrier to switching away from EDF.

The case was opened at the request of KalibraXE, a small company which offers to supply "blocks" of electricity to eligible customers, rather than take responsibility for a site's full supply requirements. The Conseil rejected KalibraXE's request for interim measures against EDF's exclusivity and loyalty-inducing terms in in supply contracts, holding that it was quite possible that they were justified, and that there was no urgency to act in any case.

The Conseil notes the likely effects on the market of French legislation giving customers that had switched away from an EDF regulated tariff a one-off opportunity, before full market opening in July 2007, to switch back to an EDF regulated tariff (which has been set below typical market prices); but this legislative measure does not affect its view of the legality of EDF's conduct.

The Conseil is continuing with its substantive investigation of KalibraXE's complaint about alleged abuse of a dominant position by EDF through exclusivity or equivalent clauses.

Update, 29 June 2007: court of appeal judgment (6 pages in French, PDF) rejecting a KalibraXE appeal for additional interim measures.

For further information or advice please contact Franck Latrémolière.

Filed under Article 82, Conseil de la concurrence, Electricity, France.

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