Nuclear power - the never-ending confrontation between France and Germany

As the European Union drafts a bill to curb volatile electricity prices, France clashes with Germany over the future of nuclear power.

The European Commission's draft electricity market reform bill has become a major challenge to France's need to modernize its nuclear power plants. So the country has sent documents to persuade the Commission to consider its problems, but has faced fierce opposition from Germany and its allies.

Even France's traditional nuclear allies, including Eastern Europe and Finland, are cautiously showing their support. France is trying to rally support before the summer holidays, but it remains fragile, according to Le Monde .

After energy prices spiked in the summer of 2022 due to the Ukraine conflict, the European Commission presented a bill on March 14 to limit the volatility of electricity prices, as long as they are decarbonized.

The bill would allow member states to subsidize energy production on their territory, whether from renewable or nuclear sources, without violating aid laws. It would also allow countries to suddenly increase tariffs on power producers when prices rise.

Steam rises from cooling towers at the Bugey nuclear power plant in Saint-Vulbas, central France, on July 20. Photo: AFP — Steam rises from cooling towers at the Bugey nuclear power plant in Saint-Vulbas, central France, on July 20. Photo: *AFP*

For Germany and allies like Luxembourg and Austria, France cannot use the new law to finance upgrades to extend the life of its nuclear power plants. "Berlin is scared that its industry is losing competitiveness. They want to keep electricity prices high so that France cannot benefit from nuclear power," said one pro-nuclear diplomat .

Germany, with its growing number of renewable energy projects, supports the Commission's proposed mechanism to subsidize the construction of new power plants. France's allies - which do not have large-scale nuclear power - are interested in how to finance new power plants. "Paris therefore risks being isolated in its fight," a source explained.

At the European Council meeting on June 29 and 30, German Chancellor Olaf Scholz and French President Emmanuel Macron discussed the issue but failed to reach a consensus. They had planned to discuss it again on July 3, on the sidelines of the French president's state visit to Germany. However, the Elysée Palace was forced to cancel the trip due to riots that occurred after the death of the young girl Nahel. Since then, the discussion between the two countries has not progressed.

Germany, which does not want France to take advantage of the new bill, also wants more subsidies for its energy-intensive industries. It plans to roll out a €30 billion package between now and 2030, but that would require the European Commission's approval, which is not in line with current rules. "In Germany, energy is largely based on fossil fuels. This is outside the scope of the Commission's electricity market reform bill," the source added.

France is also losing ground in the European Parliament, where the Industry Committee amended its draft reform on July 19, making it harder for the government to support nuclear power plants. "France lost the battle in the Industry Committee, but the battle will be replayed in the plenary in September and above all in the European Council," said Pascal Canfin, chairman of the European Parliament's Environment Committee.

France and Germany have been at odds over the fate of atomic energy in Europe since Berlin decided to phase out nuclear power following the 2011 Fukushima disaster. It’s a never-ending economic, political and diplomatic tug-of-war, compounded by global warming and the conflict in Ukraine.

This confrontation is being waged on top of a series of different EU bills, designed to decarbonise the European economy, boost energy independence and prevent spikes in electricity prices like last year.

Sometimes Paris wins a round, as in the heated debate over getting nuclear energy into the green classification and labeling that guides private investment. But other times Berlin has the upper hand, as with the draft law the European Commission presented on March 16 to support the development of decarbonization in Europe. The bill still has to be negotiated in the European Parliament and among the 27 member states, but it does not initially go in Paris’s favor.

Yet Europeans often strike complex compromises that allow both sides to get more or less of what they want. Take the case of the “Renewable Energy Directive,” which mandates that by 2030, 42.5% of Europe’s energy supply will come from wind and solar power. Passed in mid-June after intense debate, the Directive finally allows France to count hydrogen produced from nuclear power when measuring the country’s green energy.

Phien An ( according to Le Monde )

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