French Economic Affairs Committee Moves to Shield Renewable Energy Contracts From Retroactive Cuts

A committee of France’s National Assembly has pushed back against a government plan that would have allowed early termination of green tariff contracts signed between 2006 and 2010, backing an amendment that would keep those agreements intact.

The government had sought to save €120 million by modifying contracts covering solar and other renewable installations above 250 kW. The proposal also included curbing compensation for operators of facilities over 100 kW during periods of negative electricity prices. An amendment to strike Article 82 from the budget bill was introduced by MP Julie Laernoes alongside 35 fellow lawmakers, and received committee-level approval.

Industry groups warned that unilateral changes to signed contracts would undermine investor confidence built over two decades. The French renewable energy association SER said the retroactive measure would affect more than 8,000 contracts held by farmers and small businesses — projects that together drew €10 billion in private capital. The national solar federation FNES stressed that the sector is not seeking new public support, only the basic reliability of agreements already in force.

The committee vote is not final. The full National Assembly is scheduled to debate the measure on 27 October, with a budget vote set for 17 November. Laernoes has urged the government to respect the committee’s position as the bill moves forward.

The outcome will be closely watched by renewable energy developers across Europe, where retroactive policy changes have repeatedly tested long-term investment frameworks.

Source: PV Magazine