Exclusive: France's EDF to withdraw from some overseas projects, cut jobs, sources say
France, once a global leader in nuclear energy and Europe's largest nuclear power producer, is pulling back at a time of global calls for nuclear expansion, opening the door to new players as high costs and design issues hurt its ability to compete internationally.
Fontana was appointed in April to take over the state-run utility after the government became increasingly frustrated with EDF's slow progress in revamping the French nuclear fleet.
The new chief executive told a parliamentary hearing on his nomination that he would focus on developing the company's domestic nuclear projects rather than its international business, which employs hundreds of people and has previously built reactors in China, Finland and Britain.
He has outlined changes to the overseas business in recent weeks, said the sources, including pulling back from some bids to build reactors outside Europe.
The company will focus on tenders for nuclear projects in the Netherlands, Sweden and Finland, where it has a higher chance of winning the bids, said an industry source familiar with the plans.
It will also de-prioritise projects in Poland, India, Canada and elsewhere outside Europe, the person said.
Reducing its international footprint will allow it to cut costs and redirect people to higher-priority projects, said another industry source familiar with the situation.
EDF's recent international projects have faced long delays and cost overruns. Last year it lost out to South Korea's KHNP in a bid for two new reactors in the Czech Republic.
Fontana will also reduce headcount on the international sales team, said the sources, with one saying there are plans to cut about 60 jobs, including 10 managers.
EDF declined to comment.
"The new French nuclear programme is the group's priority," said an official in Prime Minister Francois Bayrou's office.
President Emmanuel Macron announced plans in early 2022 for six new French reactors to replace ageing plants and secure future energy supplies, with costs estimated at 67 billion euros ($78.7 billion), according to a media report last year.
The company is heavily indebted, however, after expensive repairs to its nuclear fleet in recent years.
EDF is also looking to sell some of its renewable energy assets in North America and Brazil.
The company's subsidiaries Framatome and Arabelle, which produce reactor parts, will continue to bid to supply international projects, such as the AP 1000 in Canada, one of the sources added.
($1 = 0.8516 euros)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Independent
16 minutes ago
- The Independent
Newcastle United transfer news: Benjamin Sesko, Yoane Wissa, Randal Kolo Muani and more
Having ended their trophy drought with Carabao Cup success last season, Newcastle United now have work to do in the transfer market. With a return to the Champions League, the Magpies need to strengthen their squad to compete at the highest level. Boss Eddie Howe has made it known that he is looking to work fast this summer, seemingly not wanting to repeat the sort of saga that saw Marc Guehi remain at Crystal Palace despite strong interest last summer. The Saudi-backed club were without any major recruits over the past two seasons due to PSR rules, but started the summer with a big move for Anthony Elanga – with the Nottingham Forest winger joining in a deal worth £55m – and are set to make more notable additions as they continue a pursuit of Eintracht Frankfurt striker Hugo Ekitike. Here's everything you need to know about Newcastle United 's summer transfer plans: There are four key areas of improvement this summer. The first is up front, with the club seemingly hunting for another striker to join - or potentially replace - the prolific Alexander Isak. Despite the club being desperate to hold onto their talisman, the Swede is exploring other options and seemingly wants to join Liverpool. Newcastle needed reinforcements on the right flank too as they prepare to do battle in the Champions League, and with squad depth likely playing a key part in their recruitment plan this summer, the club sealed a deal for Elanga earlier this month. In midfield, the Magpies have plenty of options, with the likes of Sandro Tonali and Bruno Guimaraes probably in no need of additional support. However, another central defender would be a major plus as the club returns to Europe's top club competition, with Guehi having been the notable target last summer. Finally, Newcastle have been linked to signing a new goalkeeper, which has become an apparent area that would benefit from improvement. Despite Nick Pope's class, his injury record has sometimes meant Howe is forced to contend with his his back-up. James Trafford appeared to top the list of targets, but the Burnley stopper now looks set for a return to Manchester City. Done deals Ins: Anthony Elanga (Nottingham Forest, £55m), Antonito Cordero (Malaga, free transfer) Outs: Lloyd Kelly (Juventus, £15m), Sean Longstaff (Leeds United, £12m) Jamal Lewis (out of contract), Callum Wilson (out of contract) Potential targets Benjamin Sesko, RB Leipzig As the club braces for a monster bid from Liverpool for wantaway Isak, Newcastle are eyeing up RB Leipzig frontman Benjamin Sesko as his potential replacement. The Slovenian striker was heavily touted with a move to Arsenal earlier in the window, but the German club held firm on his £70m price tag. After already being pipped to Hugo Ekitike by the Reds, a hefty cash windfall from the sale of Isak would no doubt provide them with the funds to complete the move. Yoane Wissa, Brentford Newcastle are also said to now be interested in Brentford's Yoane Wissa as they look to bolster their attacking options. The Congo international could be available for around £50m, with the Bees holding that valuation for their record goalscorer, who grabbed 20 goals in all competitions last season. However, as Newcastle begin to accept the reality that they may now be without their superstar striker, their interest in Wissa - who would be seen as more of a support act to Isak - is starting to cool. Randal Kolo Muani, PSG Reports have emerged that the Magpies could be interested in Randal Kolo Muani after their failed pursuit of Ekitike. They are said to want a striker whether or not Isak leaves, and the PSG man – who spent last season on loan at Juventus – could be a good cut-price option. Axel Disasi, Chelsea Reports from France continue to link Axel Disasi to Newcastle, as was the case during the January window. Chelsea signed the centre-back for around £38m and could be open to a sale, with the Frenchman having spent the second half of last season on loan at Aston Villa.
BBC News
17 minutes ago
- BBC News
Brighton and Hove park and ride service to begin on Sunday
A new park and ride service will launch in Brighton this weekend, the city council has & Hove City Council (BHCC) approved plans for a long-discussed park and ride scheme in January, and now says that it will launch on scheme, which will take passengers from the University of Sussex campus in Falmer to Church Street in the city centre, will run every weekend in August, as well as on the Bank Holiday Monday on 25 will run every 15 minutes from 09:00 to 21:00 BST, the council added. The park and ride service will cost £7 per car, which includes all passengers in the vehicle, the council buses from Brighton returning to Falmer would leave Church Street at 20: Muten, cabinet member for transport, parking and public realm, previously said: "This initiative will operate alongside our efforts to make parking simpler and fairer, our expansion in electric vehicle charging, and our improvements to the city's walking and cycling infrastructure."It all adds up to a comprehensive, city-wide strategy to give our residents and visitors more options to travel sustainably."BHCC also said it would look to introduce further locations around the city following the opening of the first added that the service was currently only for people parking their cars at the university, but it would be "considering wider options in the future".
The Guardian
17 minutes ago
- The Guardian
Tilting at windmills? Trump's claims about turbines fact-checked
The wind turbines visible from Donald Trump's Turnberry and Menie golf courses have long enraged the president. At a press conference at his Ayrshire resort announcing a trade deal with the EU this weekend, Trump launched into an unprompted tirade against windfarms, instructing European countries to get rid of theirs. He was visiting Turnberry for the first time since the nearby onshore Kirk Hill windfarm began producing energy from eight turbines. But were his comments about wind power correct? Trump claimed: 'It is the worst form of energy, the most expensive form of energy, but windmills should not be allowed.' This is certainly not true for onshore wind, which is cheap to build and generates electricity very inexpensively. Offshore windfarms cost more to build but when it is windy produces electricity extremely cheaply. There are costs associated with wind; the energy secretary, Ed Miliband, has recently faced criticism for setting the maximum price at his upcoming renewable energy auction at £113 a megawatt-hour for offshore wind, for record-length contracts of 20 years. By comparison, the wholesale gas price is £78/MWh at present. However, during the price spike of 2022, wholesale gas went above £170/MWh. Because Britain's electricity grid has not been sufficiently updated, windfarms are also often paid millions to switch off when it is very windy to avoid overloading the network. However, even with these added costs, offshore wind is less expensive than nuclear to build, has a stable price compared with gas, which is sold on international markets, and is cheaper to generate than fossil fuels. Trump has often claimed that offshore wind kills whales and drives them crazy. It is tricky to make definitive claims about whether or not whales are driven 'loco' by offshore wind, as many aspects of whale behaviour are not well understood by scientists. However, it does not appear there is direct evidence that offshore windfarms frequently cause whale deaths. The US National Oceanic and Atmospheric Administration has said: 'There are no known links between large whale deaths and ongoing offshore wind activities.' Whales could be disturbed during the initial stages of offshore-wind construction. High-resolution geophysical surveys to map the seafloor are carried out that could disturb marine mammals. However, these are much smaller in scale than those conducted for oil and gas exploration. Most of the known direct causes of whale deaths are related to the fishing industry, with the mammal caught in or ingest fishing equipment. The warming and acidification of oceans caused by global heating from burning fossil fuels is also a threat to whales' survival. Trump said windfarms 'kill the birds', and this is true, to an extent. Birds can collide with the turbines, and offshore windfarms are sometimes constructed in important feeding sites for seabirds such as puffins as they are put in shallow waters where sandeels are found. However, the proportion of birds killed by turbines is tiny compared with the amount killed, for example, by domestic cats and from flying into power lines. Destroying bird habitat and poisoning their food with pesticides has also had a greater impact on populations than the prevalence of wind turbines. Some wind companies are taking action to become less lethal to birds; a project in Norway painted its turbines black, which resulted in 70% fewer bird deaths. Trump claimed: 'When they start to rust and rot in eight years you can't really turn them off, you can't burn them. They won't let you bury the propellers, the props, because there's a certain type of fibre that doesn't go well with the land.' This is not true. Wind turbines have a typical lifespan of 20-25 years, and the industry is getting better at recycling old parts; according to the National Grid, 96% of a wind turbine is made from recyclable materials. Their outer shell, shafts, gearing and electrical components are typically made from steel, copper, aluminium, other precious metals and recyclable plastics. The blades are made from fibreglass, which is not biodegradable and is indeed typically sent to landfill. However, scientists have found a way to repurpose them into cement, and the blades have been used to create pedestrian footbridges in Ireland and noise barriers for highways in the US. He's right on this one; China accounts for about 60% of global wind turbine manufacturing. However, the country dominates the rest of the globe on most manufacturing, so this isn't a surprise. The UK wind manufacturing sector is growing as part of the green economy, providing jobs in post-industrial areas in particular. Trump claimed wind turbines were killing people. There have been a handful of human deaths linked to turbines, but these are construction accidents. Deaths are not uncommon in many big industries, including oil and gas , but wind turbines do not pose a fatal threat to the general public.
