Sydkraft is Sweden's second largest utility with an annual turnover of 24 billion Swedish Krona (approximately 2.7 billion Euro, 3.2 billion USD). The company is a complete energy group providing products and services in energy, the environment, recycling, waste, and communications.
An international power group with over 6000 employees, Sydkraft AB has had majority ownership by Germany's E.ON Energie AG since 2002. Sydkraft has 60 operating subsidiaries. The group's primary activities include electricity sales, distribution, and production, natural gas, LPG, heat, cooling, energy trading and communications solutions. Non-core activities include computer, electricity installation, surveying, telecommunications and industry consulting services.
Sydkraft believes that all financial products offered on the Nord Pool and the OTC market belong to the same market, since futures, forwards, options and clearing services are used for price hedging and risk management.
Sydkraft submits that electricity sale to the final consumer/supply of electricity to end-users irrespective of their consumption profile constitutes a separate product market and that this market should not be further sub-segmented.
Sydkraft submits that district heating networks constitute natural monopolies and are separate product markets - in line with previous Commission decisions[20] - and comprise the area covered by the network in question.