popular articles

New Caledonia: The French government steps in with €14.2 million to stabilize Enercal

The French government has granted an advance of 14.2 million euros to Enercal, New Caledonia's electricity system operator, to ensure continuity of electricity supply and offset its chronic deficit.
Congress of New Caledonia

Please share:

New Caledonia is facing a major energy crisis.
Enercal, the archipelago’s main power system operator, is accumulating a chronic deficit that threatens the stability of the electricity supply.
In response to this emergency, the French government is granting Enercal a “repayable advance” of 1.7 billion Pacific francs (14.2 million euros).
This financial aid is intended to enable the company to continue operating over the coming months, while reforms are implemented to ensure its long-term viability.
According to a recent report by the local government, as of June 30, Enercal had a deficit of 18.9 billion Pacific francs (150 million euros).
This worrying financial situation has prompted the French government to intervene to prevent any disruption to the electricity supply in New Caledonia.

Comprehensive government support measures

The exceptional aid granted to Enercal is part of an overall package of 300 million euros intended to support local authorities and companies not linked to the nickel sector.
New Caledonia was recently rocked by riots that severely affected the local economic fabric, resulting in destruction estimated at 2.2 billion euros.
Overall support includes measures such as partial activity, the State Solidarity Fund, state-guaranteed loans, as well as funding for local authorities, health, social security and energy systems.
These measures are designed to stabilize the local economy and restore the confidence of investors and residents alike.

Recovery Plan and Tariff Reforms

To ensure Enercal’s future viability, the collegiate government of New Caledonia is proposing a phased increase in the kilowatt-hour selling price between October 2024 and September 2026.
This draft resolution, currently being examined by the New Caledonian Congress, also provides for the government to assume responsibility for Enercal’s deficits during this transition period, and to pay off the company’s debt between 2026 and 2029.
This tariff reform is essential to restore Enercal’s finances and guarantee a stable, sustainable supply of electricity to the entire Caledonian population.
The measure is accompanied by internal restructuring plans aimed at improving the company’s operational efficiency and reducing costs.

Riot Impact and Recovery Strategies

The riots, which broke out in May 2024 in response to a proposed reform of the electoral body, caused significant damage, both in terms of human lives and material destruction.
Ten people, including two gendarmes, lost their lives, and the resulting economic disruption amplified the ongoing energy crisis.
The New Caledonian government estimates the cost of the riots at around 2.2 billion euros, a figure that underlines the seriousness of the economic situation.
The State’s response, combined with local measures, is aimed at redressing the economy and preventing future instability.
The joint efforts of local and national authorities are crucial to restoring order and supporting the island’s economic recovery.
Support for Enercal and the associated reforms represent a critical step in stabilizing New Caledonia’s energy sector.
By strengthening the energy infrastructure and ensuring more rigorous financial management, the authorities hope not only to restore the supply of electricity, but also to lay the foundations for sustainable economic growth in the archipelago.

Register free of charge for uninterrupted access.

Publicite

Recently published in

Luc Rémont was dismissed as head of EDF by the French executive due to disagreements over industrial contract strategy and financing of the EPR2 nuclear programme.
Just Stop Oil will end its high-profile actions after one of its core demands was integrated into the British government's energy policy.
Just Stop Oil will end its high-profile actions after one of its core demands was integrated into the British government's energy policy.
The surge in solar production and the slow upgrade of electricity infrastructure are blocking thousands of projects in the Netherlands, affecting energy security and consumer costs.
The surge in solar production and the slow upgrade of electricity infrastructure are blocking thousands of projects in the Netherlands, affecting energy security and consumer costs.
The development of French power grids is facing a structural shortage of skilled labour, despite €200bn in projected investments by 2040.
The development of French power grids is facing a structural shortage of skilled labour, despite €200bn in projected investments by 2040.
Luc Rémont's departure exposes ongoing disagreements between EDF and the French State over electricity pricing for industry and the financing terms of the nuclear programme.
The European Investment Bank approves a final tranche of PLN1.7bn for Orlen to modernise electricity distribution infrastructure in Poland via its subsidiary Energa Operator.
The European Investment Bank approves a final tranche of PLN1.7bn for Orlen to modernise electricity distribution infrastructure in Poland via its subsidiary Energa Operator.
Luc Rémont is replaced as head of EDF as French manufacturers criticise a pricing strategy seen as incompatible with national industrial competitiveness.
Luc Rémont is replaced as head of EDF as French manufacturers criticise a pricing strategy seen as incompatible with national industrial competitiveness.
Luc Rémont will not be reappointed as Chairman of Électricité de France, two years after his nomination, despite record profits in 2024 and the revival of the nuclear fleet.
Luc Rémont will not be reappointed as Chairman of Électricité de France, two years after his nomination, despite record profits in 2024 and the revival of the nuclear fleet.
The French government has appointed Bernard Fontana to lead EDF, relying on his experience in nuclear energy and energy-intensive industries, amid strategic restructuring and rising tariff pressures.
Kazakhmys, the leading copper producer in Kazakhstan, partially suspends its operations after the death of eight workers. The company is conducting an inspection of its facilities to ensure operational safety.
Kazakhmys, the leading copper producer in Kazakhstan, partially suspends its operations after the death of eight workers. The company is conducting an inspection of its facilities to ensure operational safety.
The European Southern Observatory (ESO) warns of the potentially devastating consequences of a power plant project near its telescopes in the Atacama Desert, highlighting irreversible light pollution.
The European Southern Observatory (ESO) warns of the potentially devastating consequences of a power plant project near its telescopes in the Atacama Desert, highlighting irreversible light pollution.
The recent elections in Greenland resulted in a victory for the Demokraatit party, which advocates gradual independence from Denmark and increased support for the exploitation of natural resources, prioritizing the mining and energy sectors. This election comes amid heightened international tensions, notably due to proposals by Donald Trump to annex the territory.
The recent elections in Greenland resulted in a victory for the Demokraatit party, which advocates gradual independence from Denmark and increased support for the exploitation of natural resources, prioritizing the mining and energy sectors. This election comes amid heightened international tensions, notably due to proposals by Donald Trump to annex the territory.
In January 2025, Italy recorded a trade deficit of €264 million, largely attributed to the rising energy costs, according to the National Institute of Statistics (Istat).
The National Federation of Mines and Energy of the General Confederation of Labour (FNME-CGT) has elected Fabrice Coudour as secretary general. He succeeds Sébastien Ménesplier and inherits strategic issues, including the opening of hydropower concessions to competition.
The National Federation of Mines and Energy of the General Confederation of Labour (FNME-CGT) has elected Fabrice Coudour as secretary general. He succeeds Sébastien Ménesplier and inherits strategic issues, including the opening of hydropower concessions to competition.
Nigerien authorities have ordered the expulsion of three Chinese executives from oil companies and shut down a hotel owned by a Chinese company. This decision is part of a policy aimed at strengthening national control over the country’s energy resources.
Nigerien authorities have ordered the expulsion of three Chinese executives from oil companies and shut down a hotel owned by a Chinese company. This decision is part of a policy aimed at strengthening national control over the country’s energy resources.
The French government has issued a decree expanding the use of treated wastewater to industrial and nuclear sectors, aiming to reduce pressure on water resources.
The French government has issued a decree expanding the use of treated wastewater to industrial and nuclear sectors, aiming to reduce pressure on water resources.
An incident in a private power plant caused a nationwide blackout in Panama on Saturday night. The national power grid was severely impacted, leading to an interruption in the potable water supply. Authorities are investigating the causes of the event.
UK greenhouse gas emissions decreased by 3.6% in 2024, marking a slowdown in the pace of reduction. The end of coal usage in electricity production and the rise in electric vehicles contributed to this trend.
UK greenhouse gas emissions decreased by 3.6% in 2024, marking a slowdown in the pace of reduction. The end of coal usage in electricity production and the rise in electric vehicles contributed to this trend.
The capital of the Central African Republic, Bangui, is facing a prolonged power outage, severely disrupting economic activities and exacerbating water shortages.
The capital of the Central African Republic, Bangui, is facing a prolonged power outage, severely disrupting economic activities and exacerbating water shortages.
More than 160 senators from the right and centre have urged François Bayrou to suspend the publication of the third Multi-Year Energy Programme (PPE 3), criticizing its lack of a comprehensive vision and calling for greater parliamentary involvement in defining the energy mix.
More than 160 senators from the right and centre have urged François Bayrou to suspend the publication of the third Multi-Year Energy Programme (PPE 3), criticizing its lack of a comprehensive vision and calling for greater parliamentary involvement in defining the energy mix.
The Canada Energy Regulator has approved, with modifications, the cost allocation methodology for friction reducers on the Keystone Canada pipeline system. South Bow GP (Canada) Ltd. will need to recalculate the tolls for 2020 and 2021 before final validation.
Nuclear energy emerges as a key election issue in Australia, as accelerating gas dependency intensifies amid coal plant closures, raising critical concerns about grid stability and energy pricing ahead of the 2025 federal elections.
Nuclear energy emerges as a key election issue in Australia, as accelerating gas dependency intensifies amid coal plant closures, raising critical concerns about grid stability and energy pricing ahead of the 2025 federal elections.
Donald Trump accuses Canada of tariff abuse following Ontario's decision to impose a 25% surcharge on electricity exports to three U.S. states, escalating trade tensions between the neighboring countries.
Donald Trump accuses Canada of tariff abuse following Ontario's decision to impose a 25% surcharge on electricity exports to three U.S. states, escalating trade tensions between the neighboring countries.
Mark Carney, newly elected Canadian Prime Minister, expresses his intention to abolish the consumer carbon tax, revitalizes nuclear energy, and signals openness to expanding gas infrastructure with the United States.
Mark Carney, newly elected Canadian Prime Minister, expresses his intention to abolish the consumer carbon tax, revitalizes nuclear energy, and signals openness to expanding gas infrastructure with the United States.

Advertising