The European Commission has opened an in-depth state aid investigation into France’s planned €72.8 billion public support for building and operating six new nuclear reactors.
The formal assessment will examine whether the proposed package complies with EU rules that limit how governments can subsidise companies, the Commission announced on Tuesday.
It added that opening an investigation is a standard step for complex cases and does not prejudge the final decision.
France notified the Commission in November 2025 of plans to back the construction and operation of the reactors, with a combined electricity generation capacity of 9,990 megawatts.
The units would be built in pairs at existing nuclear sites at Penly, Gravelines and Bugey, with commissioning planned between 2038 and 2044 and a 60-year lifetime for each reactor.
Total construction costs are currently estimated at €72.8 billion.
The beneficiary would be Électricité de France (EDF), which owns and operates France’s nuclear power fleet.
A special purpose vehicle — a dedicated project company — fully owned by EDF would be created to carry out the build.
France’s plan includes a subsidised loan at a preferential rate covering 60% of estimated construction costs, a 40-year “two-way contract for difference” to stabilise plant revenues, and a risk-sharing mechanism for events outside EDF’s control such as unforeseeable natural disasters and changes in national law.
What the Commission will examine
The Commission said its preliminary view is that the project is necessary and facilitates an economic activity, and it also recognises a potential contribution to security of electricity supply and decarbonisation.
However, it said it needs to examine whether the aid is appropriate and proportionate, including whether the combined measures transfer too much risk to the state and still leave incentives for efficient operation.
The Commission will also look at the impact on competition, including concerns the support could strengthen EDF’s market power, and whether safeguards can prevent market distortions or the aid being passed on to specific market participants.
The investigation will also assess compliance with other EU law, including design principles for two-way contracts for difference set out in the EU’s Electricity Regulation.
France and interested third parties will be able to submit comments during the investigation.
