French Energy Law
Code de l’Énergie
French energy law is codified in the Code de l’énergie (Energy Code), created by Ordonnance No. 2011-504 of 9 May 2011 and subsequently expanded. The Code de l’énergie consolidates legislation formerly scattered across multiple statutes, including the law of 10 February 2000 on the modernisation and development of the public electricity service and the law of 3 January 2003 on gas markets. The Code is organised into six books covering: general provisions, electricity, gas and other gaseous fuels, heat and cold networks, hydrogen, and energy transition. The Code de l’énergie establishes the principles of public service (péréquation tarifaire — nationwide uniform tariffs for regulated sales tariffs), the regulated access to nuclear electricity (ARENH) mechanism, and the legal regime for renewable energy support.
Loi de Transition Énergétique 2015
The Law on Energy Transition for Green Growth (LTECV) of 17 August 2015 (Law No. 2015-992) is the foundational statute of French energy transition policy. The LTECV set binding targets: reducing the share of nuclear in electricity generation to 50% by 2025 (subsequently postponed to 2035 by the 2019 PPE law), reducing final energy consumption by 50% by 2050 (relative to 2012), increasing the share of renewable energy to 32% of gross final energy consumption by 2030, and reducing greenhouse gas emissions by 40% by 2030 (relative to 1990). The LTECV introduced the Stratégie Nationale Bas-Carbone (SNBC) and the Programmation Pluriannuelle de l’Énergie (PPE) as planning instruments, established the energy cheque (chèque énergie) to combat fuel poverty, and created a framework for energy self-consumption and positive-energy buildings (BEPOS).
Programmation Pluriannuelle de l’Énergie (PPE)
The Multi-Annual Energy Programme (PPE) , mandated by Article 176 of the LTECV and codified in Articles L. 141-1 to L. 141-7 of the Code de l’énergie, is the principal strategic planning instrument for energy policy. The PPE — set by ministerial decree on the advice of the Conseil supérieur de l’énergie and the Commission de Régulation de l’Énergie (CRE) — establishes deployment trajectories for each energy source, infrastructure development, and emissions reduction milestones. The PPE 2019–2028 (approved in 2020) set targets including closing 14 coal-fired power units, developing 44 GW of renewable capacity by 2028, and maintaining the existing nuclear fleet while preparing for new EPR2 reactors. The PPE 2024–2033, currently under development, responds to the renewed nuclear strategy announced by President Macron in February 2022, including plans for up to 14 new EPR2 reactors and accelerated renewable deployment.
Commission de Régulation de l’Énergie (CRE)
The Energy Regulatory Commission (CRE) , established by the law of 10 February 2000, is the independent regulator for energy markets in France. The CRE has regulatory authority over: access to electricity and natural gas networks (regulated third-party access); tariffs for the use of public electricity and gas networks (TURPE and ATRD tariffs); the regulated sales tariffs (Tarifs Réglementés de Vente, TRV) for electricity and gas; the ARENH mechanism, through which EDF must sell nuclear electricity to alternative suppliers at a regulated price; and certification of renewable energy origin (guarantees of origin). The CRE advises the government on the PPE, conducts market surveillance, and may impose sanctions for breaches of the Energy Code. The independence of the CRE has been confirmed by the Conseil d’État in decisions including CRE v. Société Direct Énergie (2018).
EDF Regulatory Framework
Électricité de France (EDF), the incumbent state-owned electricity company, operates under a hybrid regulatory regime combining public ownership, regulated tariffs, and competitive market obligations. The ARENH (Accès Régulé à l’Électricité Nucléaire Historique), established by the NOME Law of 7 December 2010 (Law No. 2010-1488), obliges EDF to sell up to 100 TWh per year of nuclear electricity to alternative suppliers at €42/MWh, indexed to the cost of EDF’s nuclear fleet. The NOME Law also introduced the Loi NOME provisions for the transition to the fully competitive market. EDF’s financial equilibrium has been a recurring regulatory challenge — the government’s 2022 introduction of the ARENH+ mechanism and the 2023 energy price shield (bouclier tarifaire) involved regulatory intervention to cap retail price increases while compensating EDF for the difference between ARENH and market prices. The Association des Fournisseurs d’Électricité litigation has challenged the adequacy of the ARENH price.
Nuclear Regulation (ASN)
The Autorité de Sûreté Nucléaire (ASN) , established by the 2006 Transparence and Nuclear Security Law (Law No. 2006-686), is the independent administrative authority responsible for nuclear safety, radiation protection, and nuclear security in France. The ASN regulates nuclear installations (basic nuclear installations — INB), including EDF’s 56 operational reactors, the EPR at Flamanville, and fuel cycle facilities. The ASN’s powers include: issuing decrees of authorisation for creation and commissioning of INBs; conducting inspections; and imposing sanctions. The ASN’s emergency response role was highlighted during the Fukushima stress tests (2011–2012), which led to the complementary safety assessments (ECS) and subsequent reinforcement requirements for all French nuclear reactors. The long-term operation (LTO) programme for the 900 MWe reactor fleet’s fourth ten-year inspection visits (VD4) involves ASN review of the generic phase and specific per-reactor phase before operation beyond 40 years is authorised.
FIT for Renewables
France supports renewable energy primarily through feed-in tariffs (FITs) and feed-in premiums (complément de rémunération) under Articles L. 314-1 to L. 314-52 of the Code de l’énergie. The FIT regime, established by the law of 10 February 2000, guarantees eligible renewable generators a purchase price for electricity for 15–20 years, with the difference between the FIT and the market price covered by the Contribution to the Public Electricity Service (CSPE) — now the internal tax on final consumption of electricity (TICFE) . Since 2011, competitive bidding (appels d’offres) has progressively replaced administratively set FITs for solar and onshore wind above certain capacity thresholds. Offshore wind is exclusively supported through competitive dialogue procedures.
SNBC and the Capacity Mechanism
The Stratégie Nationale Bas-Carbone (SNBC) , established by the LTECV and codified in Article L. 222-1 B of the Environment Code, sets France’s carbon budgets (budgets carbone) in successive five-year periods and outlines a roadmap for the low-carbon transition across all sectors. The SNBC is revised every five years; SNBC-2 (2018–2019) set a target of net-zero emissions by 2050, while SNBC-3 (2023–2024) is aligned with increased ambition under EU Fit for 55. France operates a capacity mechanism (mécanisme de capacité), implemented by RTE (Réseau de Transport d’Électricité) under CRE supervision, requiring electricity suppliers to hold capacity guarantees (garanties de capacité) covering their peak consumption, creating a market for certified capacity.