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Energy Firms Mull Joining Distribution Forces

Law360 (March 6, 2007, 12:00 AM EST) -- European energy firms are reportedly considering pooling their distribution networks in a bid to sidestep regulators’ proposals to increase competition in the energy sector by forcing companies to unbundle their production and distribution capabilities.

Utilities in Germany, France, Belgium, the Netherlands, and Luxembourg may combine their distribution networks and transfer their management to an independent company, German newspaper Sueddeutsche Zeitung reported Tuesday, citing company managers.

One manager at a German company said the move would allow the firms to retain ownership of the networks while stimulating...
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