EDF reform: the government is "not sure" of reaching an agreement with Brussels

There is no "

certainty of reaching an agreement

" with the European Commission on the future of EDF, said Thursday the Minister of Ecological Transition Barbara Pompili, while estimating that the status quo is "

not tenable

”.

Read also: Hercules, this project that arouses the discontent of EDF employees

"

Today we are not in a position to describe a precise outline of what this reform will be and its impact on the internal organization of the EDF group, for a very simple reason: negotiations with the European Commission are still ongoing

" , said the minister during a hearing before deputies.

"No certainty"

“

To date we are not even sure that we will reach an agreement,

” she added.

The government will be "

intransigent

" to avoid a dismantling or an excessively low remuneration price for nuclear power, said Barbara Pompili.

"

I think the status quo is not sustainable over time

," she also said.

EDF's

“

Hercules

” reorganization project could result in a split of the group into three entities: a public company (EDF blue) for nuclear power plants, another (EDF green) listed on the stock exchange for the distribution of electricity and renewable energies, and a third (EDF Azure) which would cover the hydroelectric dams.

Read also: EDF praises its "two legs", renewable and nuclear

The government wants a new method of regulation for the existing nuclear fleet in order to better remunerate EDF, which currently has to sell part of its production to its competitors at a low fixed price.

The agreement of the European Commission

But this requires the agreement of the European Commission and would have consequences for the organization of the company, underlined Ms. Pompili.

The Commission "will

ask to be guaranteed that this regulation only applies to the activity of nuclear production and not to other activities: that there will be no so-called cross-subsidies

", explained the minister.

Read also: EPR site in England: new delay and additional cost, EDF announcement

The same is true for hydroelectric activity, which could take the form of a public “

quasi-government

”

in the future

.