EDF is fined 300 million euros for abuse of dominant position

On Tuesday, February 22, the Competition Authority imposed a fine of 300 million euros on EDF and several of its subsidiaries for abuse of a dominant position, following a complaint filed by Engie, according to a decision announced by the authority.

EDF was accused of having “misused” from 2004 to 2021 customer files, which the group had as part of its public electricity service mission, to offer consumers market offers in gas, electricity and other energy services.

EDF reacted by “taking note of the decision”. He had already included in his 2021 accounts the amount of the sanction, which was the subject of negotiation.

A negotiated financial penalty

Since 2007, individuals have been able to subscribe to EDF’s regulated sales tariff (TRV) (for electricity) with prices set by the public authorities, but also to market offers, at free prices, sold both by the incumbent French operator than by dozens of competitors: Engie, ENI, Total, Vattenfall, etc.

In addition to the use of customer files eligible for the regulated tariff, EDF is sanctioned for having also used the commercial infrastructures linked to the management of regulated tariff contracts, to develop the marketing of its market offers, underlines the Competition Authority .

The objective was to “convert a large part of its customers at the pivotal moment of the end of TRV electricity for part of the professional customers”. The group wanted “maintain its market share in the supply of electricity and strengthen its position on the related markets for the supply of gas and energy services”according to the same source.

As part of the investigation, EDF had requested the benefit of the “dealing procedure”. This procedure allows a company that does not deny the facts to obtain a financial penalty within a range negotiated with the general rapporteur.

Read also EDF confirms its plan to buy out part of GE Steam Power’s nuclear business

The World with AFP

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