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EU approves €11 billion for France to support offshore wind energy

The measure will support the construction and operation of three floating offshore wind farms: one in the sea off the southern coast of Brittany and two others in the Mediterranean Sea. Each farm is expected to have a capacity of around 500 MW and generate approximately 2.2 TWh, equivalent to the annual consumption of 450,000 French households

Antonio Rodríguez
Last updated: August 7, 2025 1:49 pm
By Antonio Rodríguez - Editor Chief
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France notifies the Commission, under CISAF, of an €11 billion program to support the development of offshore wind energy and boost the clean tech industry in the EU, in line with the objectives of the Net-Zero Industry Act. The program will run for 20 years.

The European Commission has approved a French €11 billion program to support offshore wind energy, consistent with the goals of the Net-Zero Industry Act. This measure will contribute to the transition to a net-zero emissions economy and to achieving the EU-level renewable energy targets for 2030. The program was approved under the Temporary Crisis and Transition Framework for State Aid (CISAF), adopted by the Commission on 25 June 2025.

The French Measure

France notified the Commission, under the CISAF, of a €11 billion program to support the development of offshore wind energy and to drive the clean tech industry within the EU, in line with the objectives of the Net-Zero Industry Act. The program will run for a duration of 20 years.

The measure will support the construction and operation of three floating offshore wind farms: one in the sea off the southern coast of Brittany, and two others in the Mediterranean Sea. Each wind farm is expected to have a capacity of around 500 MW and to generate approximately 2.2 TWh — equivalent to the annual consumption of 450,000 French households.

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Aid will be granted through a transparent and non-discriminatory tendering process, which will be organized to select one beneficiary per marine zone. Resilience has been included as a pre-qualification and award criterion in the tenders to diversify supply chains for wind turbines and their key components and to reduce dependency on imports from China.

Under this scheme, support will take the form of a monthly variable premium under a two-way contract for difference (CfD). This will be calculated by comparing a reference price — set by the winning bid — with the market price of electricity.

When the market price is below the reference price, beneficiaries will receive payments equal to the difference. If the market price exceeds the reference price, the beneficiary must pay the difference to the French authorities.

The Commission concluded that the French program meets the conditions of the CISAF (sections 3 and 4.1.2). In particular, support will be granted as direct price support through a two-way CfD, awarded through a competitive bidding process. It includes safeguards to ensure proper market functioning and to avoid overcompensation when market prices are negative.

The Commission found that the French program is necessary, appropriate, and proportionate to accelerate the transition to a net-zero emissions economy and to support the development of key economic activities aligned with the Net-Zero Industry Act. It complies with Article 107(3)(c) of the Treaty on the Functioning of the EU and with the conditions set out in the CISAF.

Based on this assessment, the Commission approved the aid measure under EU State aid rules.

Background

On 25 June 2025, the Commission adopted the Temporary Crisis and Transition Framework (CISAF) to enable supportive measures in key sectors for the transition to a net-zero emissions economy, in line with the Net-Zero Industry Act.

CISAF allows the following types of aid — which can be granted by Member States until 31 December 2025 — to accelerate the clean energy transition:

  • Measures to accelerate the deployment of renewable and low-carbon fuels (Sections 4.1 and 4.2): Member States can implement investment schemes across all renewable energy sources and storage, using simplified tendering procedures. Specific rules also apply to the deployment of low-carbon fuels.

  • Measures to temporarily reduce electricity prices for energy-intensive users (Section 4.5): To ensure the transition to clean and low-cost electricity, these measures aim to prevent the risk of industrial activities relocating outside the EU due to high costs, especially where environmental regulations are less stringent or absent.

  • Measures facilitating the decarbonisation of industrial processes (Section 5): Member States can support investments to decarbonise industrial activities and reduce reliance on imported fossil fuels. This includes electrification, energy efficiency, and switching to renewable hydrogen and electricity, with enhanced options for hydrogen-based fuel alternatives.

  • Measures to ensure sufficient manufacturing capacity for clean technologies (Section 6): Member States may provide investment support for strategic projects aligned with the Net-Zero Industry Act (such as batteries, solar panels, wind turbines, heat pumps, electrolyzers, and carbon capture, utilization and storage systems). This also includes support for key component production and the recycling of critical raw materials.

  • Measures to reduce investment risks for clean energy deployment and decarbonisation (Section 8): Support can be granted to de-risk private investments in clean energy, industrial decarbonisation, clean tech manufacturing, energy infrastructure projects, and circular economy initiatives.

TAGGED:European Commissionfloating offshore wind farmsoffshore wind energystate aid

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Antonio Rodríguez
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