Having weighed up the restrictions on competition against the public interest considerations put forward, the Monopolies Commission has, by a majority, reached the final recommendation that the authorisations sought by E.ON in relation to the two proposed mergers should not be granted. Arguments against granting such authorisation include the particularly serious distortions of competition resulting primarily from the market foreclosure effects caused by vertical integration and the combination of dominant positions in the gas and electricity markets. Moreover, these serious restrictions on competition jeopardise the potential success of liberalisation and run directly counter to the objective of effective competition in transmission pursued by the legislature through the amendment of energy legislation.