The disputes, originating in 2015 and 2019, centered on the absence of competitive retendering for expired hydroelectric concessions and the dominant role of Électricité de France (EDF) in the sector. The resolution introduces a three-part framework that shifts from a concession-based system to an authorization regime, while excluding assets managed by the Compagnie Nationale du Rhône due to their unique legislative status.
To ensure continuity, current operators will remain in place, preserving local employment and water management responsibilities. Additionally, EDF will offer 6 gigawatts of hydroelectric capacity to third parties through competitive auctions supervised by the Commission de régulation de l’énergie, promoting fair access to the sector.
The agreement aligns with recommendations from parliamentarians Marie-Noëlle Battistel and Philippe Bolo, who presented findings from a mission earlier this year. Their insights shaped the framework, balancing operational stability with increased competition. Prime Minister François Bayrou stated: “After more than ten years of pre-contentious disputes, a path has finally been cleared to lift this blockage and restart investment in French hydroelectric dams.” He expressed gratitude to Battistel, Bolo, Energy Minister Marc Ferracci, state services, and the European Commission for their contributions.
The reform requires legislative approval, with Battistel and Bolo preparing to introduce a bill in the French parliament. This step will formalize the new framework, enabling investments in dams and valleys across France. The initiative is expected to strengthen the country’s renewable energy infrastructure, supporting sustainable energy production.
By resolving these disputes, France aims to modernize its hydroelectric sector, which plays a vital role in achieving environmental objectives. The agreement fosters collaboration between public and private stakeholders, ensuring the sector’s growth while maintaining operational efficiency.
The government emphasized that the framework safeguards local communities by retaining jobs and water management duties. The competitive auctions will encourage innovation and investment, positioning France to meet its energy and climate commitments effectively.
This development marks a significant milestone in France’s energy strategy, unlocking opportunities for infrastructure upgrades and sustainable growth in the hydroelectric sector. The government anticipates that these changes will enhance energy reliability and contribute to long-term environmental goals.
