The 297-metre chimney of the Provence thermal power plant in Gardanne has resumed operations after years of shutdown. Converted from a 600-megawatt (MW) coal capacity to a 150 MW biomass unit, the facility now supplies electricity to approximately 125,000 households. Owned since 2019 by Czech group EPH through its subsidiary GazelEnergie, the site is described as the only coal-fired plant in Europe to be fully converted to biomass.
A lengthy and costly transition
Launched upon the plant’s acquisition, the conversion included major workforce restructuring, with 98 job cuts out of 180 and extended operational suspension until 2022. According to management, accumulated losses reached €650mn ($714mn). Operations officially resumed in late 2025, following the energy crisis.
A wood supply chain under scrutiny
The supply plan includes 450,000 tonnes of wood annually, consisting of 60,000 tonnes of end-of-life or waste wood, 150,000 tonnes of imported wood (from Spain, Italy, and Brazil), and 240,000 tonnes of French wood sourced within a 240-kilometre radius. Following a public inquiry covering 324 municipalities, the company committed to avoiding harvesting in Natura 2000 zones within France.
A power purchase agreement under fire
The renewal of the power purchase agreement with the French state at the end of 2024, valued at €800mn ($878mn) over eight years for 4,000 hours of annual generation, has drawn criticism. Several associations cite a lack of transparency and claim the financial terms are overly favourable. According to France Nature Environnement Provence-Alpes-Côte d’Azur, the guaranteed tariff is twice that of onshore wind energy.
Ongoing tensions over the business model
In 2023, the French Council of State forced the operator to revise its sourcing strategy due to risks to local forest areas. Despite these adjustments, environmental groups remain doubtful about the long-term sustainability of the model. Concerns persist regarding potential circumvention through imports from protected areas outside of France.
