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France, EDF takes the State to court

In France, EDF filed an action for compensation with the Paris Administrative Court.
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In France, EDF filed an action for compensation with the Paris Administrative Court. Indeed, the company wishes to obtain compensation for the damage suffered under the “device”.

Administrative Litigation

In France, EDF’s appeal concerns the measure consisting of the allocation of a maximum volume of 20TWh of electricity. This energy is sold at a regulated price from April to December 2022. Thus, this liability action comes after the filing of an annulment action with the Council of State.

Currently, the dispute is under investigation. EDF is seeking compensation from the Paris Administrative Court for the damage suffered directly by EDF. The French company, estimates the amount of damage to €8.34 billion.

Regulatory decisions

The damages cover the cost of the operation by which EDF buys at a price of €257.95/MWh. The measure, called the “device”, sets the resale price to alternative suppliers at €46.2/MWh. In addition, the action also targets the certain and direct effects of the regulated tariffs on the company’s revenues.

In France, EDF is the main supplier of electricity at regulated rates. The method of calculating these tariffs is based on the Energy Code. Finally, the deliberation of the Energy Regulation Commission sets the terms of passing on the “device” to customers.

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