The Portuguese Competition Authority has notified Portuguese energy company EDP of the draft decision of non-opposition to the operations and transactions reported to the authority for clearance.
EDP-Gestao da Producao de Energia’s operation and management of the Alqueva and Pedrogao hydroelectric power plants, for a period of 35 years, has been approved by the authority, under the terms previously provided by EDP.
EDP’s acquisition of 80% of Pebble Hydro and H Janeiro de Baixo, as part of the deal reached by EDP and Banco Espirito Santo de Investimento with Babcock & Brown, has also been cleared in the draft decision.
The draft decisions are subject to a number of undertakings, such as EDP’s commitment to maximize the availability of the mini-hydro plants to be acquired and to provide information on an annual basis, about the operating conditions of the hydroelectric plants concerned.
Other undertakings include EDP’s commitment to assign, for a period of five years, the right to operate and manage the 360MW Aguieira-Raiva hydroelectric facility, to a still-to-be selected operator. In exchange for the rights’ assignment, EDP will receive an appropriate rent, whilst revenues and costs related to the operation will be supported by the chosen operator.