European Union regulators have imposed a €1.1 billion ($1.54 billion) fine on German utility company E.ON and France's GDF Suez over a 1975 deal which saw the two divide gas markets up between them. The EU Commission, which serves as Europe's anti-trust watchdog, said the energy giants had reached an agreement not to compete in one another's gas markets around the time they cooperated to construct the MEGAL gas pipeline. As a result, the Commission said in a statement on Wednesday, they would have to pay penalties of €553 million euros each. European Competition Commissioner Neelie Kroes, who delivered the statement, said E.ON and GDF Suez had "maintained the market-sharing agreement after European gas markets were liberalized."
The EU Commission, which serves as Europe's anti-trust watchdog, said the energy giants had reached an agreement not to compete in one another's gas markets around the time they cooperated to construct the MEGAL gas pipeline.
As a result, the Commission said in a statement on Wednesday, they would have to pay penalties of €553 million euros each.
European Competition Commissioner Neelie Kroes, who delivered the statement, said E.ON and GDF Suez had "maintained the market-sharing agreement after European gas markets were liberalized."
