European Union Probes EDF's $84 Billion Nuclear Power Plan

Written by Martin Lynch, European News Editor for IIR News Intelligence (Sugar Land, Texas)

Summary

The European Commission (EC) has begun an official investigation into EDF's proposed 73 million euro (US$84 billion) nuclear expansion plan in France.

State Aid Investigation

Plans by French state-controlled energy company EDF to build six new nuclear reactors at a cost of 73 million euro (US$84 billion) are being investigated by the European Commission (EC). 

The probe will assess whether public support that France plans to grant for the construction and operation of six new nuclear reactors is in line with EU state aid rules. It stated: "The opening of an in-depth State aid investigation is a common step when complex aid packages are involved, such as in the case at hand. It will give France and interested third parties the opportunity to submit comments. It does not prejudge the outcome of the investigation." The French government said that it is confident that the aid package for the nuclear projects will be cleared and stated: "France's new nuclear energy sector will, in the coming years, be a major contributor to EU-generated electricity." According to Industrial Info Resources data, there are more than US$750 billion worth of active nuclear power projects in Europe.

The Proposed Support 

France will offer EDF a subsidised loan at a preferential rate, covering 60% of the estimated construction costs. On project completion it also guarantees a two-way contract for difference (CfD) running for 40 years to provide stable revenues to the plants. There will also be a "risk-sharing mechanism with a specific list of events" to provide protection against risks outside EDF's control, "such as unforeseeable natural disasters and changes in national law." 

The Projects

The so-called 'nuclear recovery program' was announced in 2022 by France's President Emmanuel Macron, calling for the construction of six new generation plants using European Pressurised Reactors 2 (EPR2) -- with a total capacity of slightly less than 10,000 megawatts (MW). They will be built in pairs at three existing nuclear plants: Penly, Gravelines and Bugey. Commissioning is planned between 2038 and 2044. Current costs are estimated at about 73 million euro (US$84 billion), but this figure has grown significantly in recent years. In 2022 the initial cost estimate was 51.7 billion euro (US$60 billion), but by the end of 2024 estimates had risen to 60 billion euro (US$69 billion). For additional information, see November 25, 2024, article - France to Secure Financing for Six New Nuclear Reactors by Year-End.

Nuclear Power in France

France is Europe's largest nuclear power nation, with 57 reactors supplying 70% of its electricity, which it also exports to neighbouring European countries. In 2025, EDF received approvals to operate 20 of those reactors beyond their original 40-year lifespan. Industrial Info Resources is tracking 44 nuclear-related projects in France worth US$105 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the reports. 

Europe's Nuclear Mistake

The proposed nuclear expansion in France is the largest planned in Europe. It comes at a time when the EU has admitted that shutting many nuclear plants in the wake of the partial meltdown of reactors at the Fukushima Daiichi nuclear plant in Japan in 2011 was a mistake. Speaking last month, launching Europe's re-commitment to nuclear power and the fledgling small modular reactor (SMR) segment, Commission President Ursula Von Der Leyen noted: "While in 1990 one-third of Europe's electricity came from nuclear, today it is only close to 15%. This reduction in the share of nuclear power was a choice. I believe that it was a strategic mistake for Europe to turn its back on a reliable, affordable source of low-emissions power." For additional information, see March 23, 2026, article - EU Admits Mistake Turning Away from Nuclear Power. 

Key Takeaways

• European Commission (EC) investigating EDF's proposed 73 million euro (US$84 billion) nuclear expansion plan in France.
• France wants to offer EDF a subsidised loan at a preferential rate, covering 60% of the estimated construction costs.
• According to Industrial Info Resources there are 44 nuclear-related projects in France worth US$105 billion. 

About Industrial Info Resources

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).