K2014158795 Proprietary Limited v Intikon Energy Proprietary Limited (020511) [2015] ZACT 36 (15 April 2015)

K2014158795 Proprietary Limited v Intikon Energy Proprietary Limited (020511) [2015] ZACT 36 (15 April 2015)

The Tribunal found that the proposed merger between TriAlpha SPV and Intikon Energy does not result in any product overlap, as TriAlpha SPV is an investment vehicle with no existing operations in renewable energy and Intikon Group generates electricity using solar PV technology. Although TriAlpha SPV has notified another transaction involving Dorper Wind Farm, which uses onshore wind technology, the Commission established that competition among IPPs occurs at the bidding stage and only among firms using the same technology. With approximately 60 IPPs contracted to Eskom until 2030, the merged entity would not possess market power. No public interest concerns were identified. Accordingly,...

Citation
[2015] ZACT 36
Parties
Applicant: K2014158795 Proprietary Limited; Respondent: Intikon Energy Proprietary Limited
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
15 April 2015
Case Number
020511
Procedural Posture
Merger Approval / Final Decision
Outcome
Merger approved unconditionally.
Judges
Anton Roskam, Fiona Tregenna, Imraan Valodia
Legal Topics
Merger Control, Independent Power Producers, Renewable Energy Market, Public Interest Assessment
Competition Law Merger Control Independent Power Producers Renewable Energy Market Public Interest Assessment

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 2 Party arguments 2
Sign in to unlock

Parties

K2014158795 Proprietary Limited

Applicant

Intikon Energy Proprietary Limited

Respondent

Procedural Posture

Merger Approval / Final Decision

Legal Issues

  1. 1 Whether the proposed merger between TriAlpha SPV and Intikon Energy will substantially prevent or lessen competition in any relevant market.
  2. 2 Whether the transaction raises any public interest concerns.

Ratio Decidendi

The Tribunal found that the proposed merger between TriAlpha SPV and Intikon Energy does not result in any product overlap, as TriAlpha SPV is an investment vehicle with no existing operations in renewable energy and Intikon Group generates electricity using solar PV technology. Although TriAlpha SPV has notified another transaction involving Dorper Wind Farm, which uses onshore wind technology, the Commission established that competition among IPPs occurs at the bidding stage and only among firms using the same technology. With approximately 60 IPPs contracted to Eskom until 2030, the merged entity would not possess market power. No public interest concerns were identified. Accordingly,...

Court Disposition

Merger approved unconditionally.

Orders

  • The proposed transaction between TriAlpha SPV and Intikon Energy Proprietary Limited is approved without conditions.