The deal, subject to regulatory approvals, will see GDF Suez’s subsidiary Electrabel take ownership of two pumped storage facilities and two mini hydro plants, which are all part of the Jansen power plant group.
The Jansen power plant group comprises: the Reisach pumped storage plant (99MW), Trausnitz plant (1.8MW) and the Tanzmuhle facilities, which include a 28MW pumped storage unit and a 3.3MW hydro plant.
E.ON is undertaking the divestment to help meet European Commission (EC) rules, and agreed last year to assist in promoting competition in the German energy market.
The total asset swap involves 1.7GW of capacity, the balance involving thermal and nuclear assets.
The deal will see E.ON gain better exposure to the Benelux market while E.ON improves its presence in north west Europe.
A few months ago E.ON agreed to sell hydro assets in the Inn Valley, southern Germany, to Austrian utility Verbund. The deal also gave it long-term access to power from the Zemm-Ziller pumped storage plant in Austria.
