BRUSSELS — The European Commission has started an in-depth probe into France’s plans to subsidize the construction and operation of six new nuclear reactors.
The total construction costs are estimated at €72.8 billion ($84 billion). France plans to support the project by offering a subsidized loan at a preferential rate that would cover 60 percent of the estimated construction costs, as well as a 40-year, two-way contracts for difference and a risk sharing mechanism.
Based on a preliminary assessment, the Commission said Tuesday that the project was necessary and it considered that the aid “facilitates the development of an economic activity.” However, it deems it necessary to check “whether the measure is fully in line with the EU state aid rules.”
EU officials will be looking into the package’s appropriateness and proportionality, its impact on competition, and whether it complies with other EU rules such as the electricity regulation.
