Big cuts in France’s nuclear energy portfolio due to EDF state ownership?

A majority of French parliamentarians has signalled that they would agree to a law stipulating the reduction of nuclear energy in France’s energy mix from 75% to 50% until 20251. Instead, energy efficiency and renewables shall receive more support. The national assembly is due to vote on the new law on 14 October 2014.

France has historically seen much less public resistance to its huge nuclear power installations than Germany. Why does it now seem so easy to announce such drastic cuts?

A major factor could be that most nuclear reactors belong the EDF, an energy corporation whose vast majority of shares are still held by the French government. In the French case, the government still controls one of the “commanding heights” of the economy and is thus far less affected by private sector lobbying.

Nuclear power is a technology that corresponds well to centralisation, as it is based on big projects and needs a lot of security measures in place. The question is now whether France will follow such a centralised approach in the case of renewables, which lend themselves much better to decentralised approaches than nuclear power. If the road of decentralisation is chosen, this may well result in the emergence of a stronger lobby group for renewables.

Hopefully, the French government retains control over EDF until its energy portfolio is much less nuclear than today. Otherwise, a strong lobby force, blocking the transition from nuclear to renewable power, may result.

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