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SOLAR

New German coalition aiming to cut solar energy subsidies

German Chancellor Angela Merkel’s new centre-right coalition could slash subsidies to the country’s already beleaguered solar energy manufacturers, business daily Handelsblatt reported on Tuesday.

New German coalition aiming to cut solar energy subsidies
Photo: DPA

Economic policy experts for Merkel’s conservative Christian Democrats (CDU) and the free-market Free Democrats (FDP) want to cut support for photovoltaic panels dramatically starting January 1.

Citing a draft section on energy issues of the CDU/FDP coalition agreement being discussed on Tuesday, Handelsblatt reported the two parties wanted to “critically scrutinise” the subsidies in light of sinking production costs.

Last year Germany helped the solar industry with €2.2 billion in aid, but many firms have run into trouble amid increasing competition from cheaper Asian competitors.

Handelsblatt predicted the economic experts would likely tousle with their counterparts hashing out environmental issues for the coalition agreement over the extent of subsidies for renewable energy.

And though photovoltaic manufactures might soon face grim times, Michael Fuchs from the CDU told public broadcaster ARD on Tuesday morning that the incoming coalition could use profits from extending the lifespan of Germany’s nuclear power plants to fund research for other forms of renewable energy.

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BUSINESS

France’s EDF hails €10billion profit, despite huge UK nuclear charge

French energy giant EDF has unveiled net profit of €10billion and cut its massive debt by increasing nuclear production after problems forced some plants offline.

France's EDF hails €10billion profit, despite huge UK nuclear charge

EDF hailed an “exceptional” year after its loss of €17.9billion in 2022.

Sales slipped 2.6 percent to €139.7billion , but the group managed to slice debt by €10billion euros to €54.4billion.

EDF said however that it had booked a €12.9 billion depreciation linked to difficulties at its Hinkley Point nuclear plant in Britain.

The charge includes €11.2 billion for Hinkley Point assets and €1.7billion at its British subsidiary, EDF Energy, the group explained.

EDF announced last month a fresh delay and additional costs for the giant project hit by repeated cost overruns.

“The year was marked by many events, in particular by the recovery of production and the company’s mobilisation around production recovery,” CEO Luc Remont told reporters.

EDF put its strong showing down to a strong operational performance, notably a significant increase in nuclear generation in France at a time of historically high prices.

That followed a drop in nuclear output in France in 2022. The group had to deal with stress corrosion problems at some reactors while also facing government orders to limit price rises.

The French reactors last year produced around 320.4 TWh, in the upper range of expectations.

Nuclear production had slid back in 2022 to 279 TWh, its lowest level in three decades, because of the corrosion problems and maintenance changes after
the Covid-19 pandemic.

Hinkley Point C is one of a small number of European Pressurised Reactors (EPRs) worldwide, an EDF-led design that has been plagued by cost overruns
running into billions of euros and years of construction delays.

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