Belgium set to nationalise Engie's nuclear reactors

Belgium set to nationalise Engie's nuclear reactors
The city of Huy and the Tihange nuclear plant seen from the cable car, in Huy, on Saturday 27 April 2024. Credit: Belga

The Belgian Government and the French energy group Engie are negotiating a possible state takeover of all seven nuclear reactors at Doel and Tihange, as announced on Thursday.

Pending the talks, all ongoing decommissioning and dismantling works at the plants will be halted immediately.

The negotiations concern all nuclear activities currently owned and operated by Engie and its Belgian subsidiary, Electrabel, including the four reactors at Doel and the three at Tihange, all associated personnel, subsidiaries, assets and liabilities.

According to a statement, the move reflects the Federal Government's ambition to extend the lifespan of existing reactors and potentially develop new nuclear capacity in Belgium.

"The government is opting for secure, affordable and sustainable energy. With less dependence on fossil fuel imports and more control over our own supply," Prime Minister Bart De Wever wrote on X.

For now, the agreement takes the form of a letter of intent. The Belgian State will carry out a full due diligence investigation into Engie's nuclear activities before both parties aim to reach a broader agreement by 1 October 2026.

The final transaction would still require regulatory approval, including from the Federal Agency for Nuclear Control (FANC).

The suspension of dismantling works is considered significant, as some reactors had already begun the decommissioning process.

According to reports in De Standaard, key control equipment at Tihange 1 was due to be removed in the coming weeks. The reactor is reportedly viewed within government circles as one of the strongest candidates for a possible restart.

Belgium will compensate Engie for costs already incurred through decommissioning activities during the negotiation period.

Financial details of a potential acquisition have not yet been disclosed, although reports suggest the ageing reactors are considered to have limited market value.

Major shift

The negotiations mark a major shift in Belgian energy policy. Under the previous Federal Government, Belgium had agreed with Engie to phase out most nuclear capacity while extending the operation of Doel 4 and Tihange 3 until 2035 through a joint venture known as Be-Nuc.

The new plan would see the Belgian State take over not only those two active reactors, but also the shut-down units, their staff and nuclear infrastructure.

The government is also seeking greater control over Belgium's long-term energy security amid concerns over electricity prices, supply resilience and dependence on imported fossil fuels.

According to De Standaard, the takeover would also give the State control over the Doel 5 site, one of the few locations in Belgium considered suitable for the future construction of new nuclear reactors.

The talks follow growing tensions between Engie and the government over the estimated cost of decommissioning Belgium's nuclear fleet.

Engie reportedly disputed projections that the process could cost nearly €3 billion more than the €8.7 billion already set aside for the work.

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