Red Eléctrica and Endesa have today signed an agreement through which Endesa Distribución has sold all of its owned transmission assets to Red Eléctrica. This agreement has been carried out in accordance with that established in the 9th Transitory Provision of Law 17/2007 of 4 July 2007, which modified the Electric Power Act 54/97, by which all distribution companies were obliged to sell their electricity transmission grids and facilities to Red Eléctrica.
This operation includes the in-service assets with remuneration rights in 2010, along with those assets under construction, whose commissioning is expected in 2010 and which shall grant remuneration rights in 2011. The price agreed for the in-service assets is 1,269,856,000 euros and 142,272,000 euros for assets under construction.
The transaction shall affect both the insular and peninsular electrical energy transmission grids. In the Canary and Balearic Islands this shall mean those lines with the following voltages: 66 kV, 132 kV and 220 kV; on the Spanish peninsula this shall be limited to the assets of 220 kV.
This agreement, approved by both Boards of Directors, is pending the corresponding administrative authorisations. Together with the contract for the acquisition of the assets, Red Eléctrica and Endesa Distribución Eléctrica have agreed a contract regarding the availability of technical assistance.
The operation finalised today represents the definitive consolidation of the model of sole transmission agent and electricity system operator, a model pioneered by Spain.