After months of hesitation and negotiations, the European Commission finally presented its proposal on 14 March to reform the EU’s electricity market. The Commission’s proposal was welcomed by the French Energy Minister. The reform offers France the chance to develop and refurbish its nuclear fleet. Paris is particularly pleased with the introduction of contracts for difference (CfD). Based on such contracts, governments would compensate producer financial losses if electricity prices on the wholesale market are lower than the agreed price, while energy producers would give money back to the state when prices are higher.
