The European Commission is expected to close an antitrust investigation of French utility firm EdF after reaching a settlement with the firm this week.

EdF was accused of restricting competition in the French market in December 2008. The Commission suspected the company was abusing its dominant position in the market for electricity supplies to industrial clients, through its policy of tying clients into long-term contracts.

The Commission said last November that EdF had offered to ensure that its rivals could compete for on average 65% of the electricity that it contracts to supply to large industrial users in France each year. EdF promised not to sign deals of more than five years with large users. It also pledged not to apply other restrictions, such as imposing limits on reselling the power it supplies. The commitments would remain intact for 10 years.

The Commission market-tested EdF’s commitments to see if rivals and clients would accept them. The market testing ended this week.

EdF’s confrontation with the Commission follows similar probes into Eni (Italy), E.on and RWE (Germany), and GdF Suez (France). These cases also ended in settlements rather than antitrust rulings.

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