The French Energy Regulatory Commission (Commission de régulation de l’énergie, CRE) has implemented a transitional prudential regulation framework for electricity and natural gas suppliers in France. This measure follows imbalances observed between 2021 and 2023 in retail markets, during which some suppliers showed insufficient coverage relative to their contractual commitments to consumers.
A test phase ahead of the legal framework’s entry into force
A “guichet à blanc” has been opened to test compliance procedures under real conditions. This mechanism targets suppliers authorised to resell electricity or supply natural gas, who are contractually bound to at least one final consumer and serve more than 100,000 customers within a single local distribution area. These actors have until January 30, 2026, to submit the required documents.
Three regulatory control pillars
The control is based on three components. First, a “coverage criterion” assesses whether committed volumes are adequately covered. Suppliers deemed non-compliant with this criterion will undergo a financial test, adjusted according to their credit rating. Finally, actors must formalise a complete risk coverage and management strategy, accompanied by internal procedural and organisational measures.
Annual windows maintained pending directive implementation
From 2026 onwards, the CRE plans to open new compliance windows every year. The deadlines are set for May 1 for natural gas and September 30 for electricity. This transitional mechanism will end once Article 18bis of the European Electricity Market Design (EMD) directive is transposed into French law.
Different timelines for electricity and gas
The end of the transitional scheme for electricity depends on the implementation of the EMD directive. In contrast, a separate legislative act will be required for natural gas. In the meantime, the CRE will continue to run the successive windows to structure oversight of suppliers’ practices in the retail market.
The initiative aims to prevent speculative behaviour and ensure long-term stability of contractual commitments. No individual results will be shared with companies at the end of this initial, non-sanctioning phase.
