30.3.2004 Official Journal of the European Union L 92/91 COMMISSION DECISION of 11 June 2003 declaring a concentration to be compatible with the common market and the EEA Agreement (Case COMP/M.2947 — Verbund|EnergieAllianz) (notified under document number C(2003) 1814) (Only the German text is authentic) Text with EEA relevance (2004/271/EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, Having regard to the Agreement on the European Economic Area, and in particular Article 57 thereof, Having regard to Council Regulation (EEC) No 4064/89 of 21 December 1989 on the control of concentrations between undertakings (!), as last amended by Regulation (EC) No 1310/97 (3, and in particular Article 8(2) thereof, Having regard to the Commission decision of 4 February 2003 to initiate proceedings in this case, Having regard to the opinion of the Advisory Committee on Concentrations (%), Having regard to the final report of the Hearing Officer in this case (%), Whereas: (1) On 20 December 2002 the Commission received notification of a proposed concentration pursant to Article 4 of Council Regulation (EEC) No 4064/89 (the Merger  Regulation). The Austrian  undertakings Osterreichische Elektrizititswirtschafts-Aktiengesellschaft (Verbund), EVN AG (EVN), Wien Energie GmbH (Wien Energie), Energie AG Oberdsterreich (Energie 0O0), Burgenldndische Elektrizititswirtschafts-Aktiengesell- L) OJ L 395, 30.12.1989, p. 1; corrigendum in O] L 257, 21.9.1990, p. 13. () OJ L 180, 9.7.1997, p. 1. (%) 0] C 79, 30.3.2004. (% 0] C 79, 30.3.2004. schaft (Bewag) and Linz AG fur Energie, Telekommunikation, Verkehr und Kommunale Dienste (Linz AG) planned to acquire within the meaning of Article 3(1)(b) of the Merger Regulation joint control of E&S GmbH (E&S) and Verbund Austrian Power Trading AG (APT). EVN, Wien Energie, Energie 00, Bewag and Linz AG were to manage their interests jointly under the name EnergieAllianz — Austria (EnergieAllianz). The Commission examined the notification, and found that the notified concentration fell within the scope of the Merger Regulation and raised serious doubts as to its compatibility with the common market and with the functioning of the Agreement on the European Economic Area (the EEA Agreement). On 4 February 2003, therefore, the Commission decided to initiate proceedings in the case pursuant to Article 6(1)(c) of the Merger Regulation and Article 57 of the EEA Agreement. After a thorough investigation of the case the Commission has come to the conclusion that in itself the notified concentration would indeed strengthen a dominant position as a result of which -effective competition would be significantly impeded in a substantial part of the common market. But the competition concerns to which the transaction gave rise have been overcome by the commitments entered into by the notifying parties. I. THE BUSINESS OF THE PARTIES Verbund generates and transmits electricity and supplies it to industrial customers and to electricity distributors; it also trades in electricity. Verbund is the biggest electricity generator in Austria, and operates the high-voltage grid throughout the country with the exception of Vorarlberg and the Tyrol. Verbund deals with large customers through a 55% subsidiary,