GDF Suez, E.ON finalize energy swap

PARIS, Nov. 5 (UPI) -- French utility giant GDF Suez and Germany's E.ON finalized a capacity exchange deal that was part of a pledge to diversify the energy market.

GDF Suez announced it acquired conventional power stations from the German utility with a total output of 860 MW. Hydroelectric capacity totaling 132 MW and offtake rights of around 700 MW from German nuclear power were included in the swap.

E.ON, for its part, acquires 556 MW of capacity from coal- and biomass-fired power stations and offtake rights for 770 MW of nuclear power from supply points in Belgium and the Netherlands.

The nuclear swap comes from Electrabel, the Belgium-based subsidiary of GDF Suez. The French utility announced the deal reduces Electrabel's shares in Belgium from 83 percent to 65 percent in the course of a year.

The energy swap is part of a broader pledge made by E.ON to the European Commission in 2008 to promote competition.

GDF Suez and E.ON signed final agreements for the exchange in July.