EU states strike deal on electricity market reform

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EU member states reached an agreement to reform its electricity market after months of sparring between France and Germany over state support for nuclear energy, the European Council said Tuesday. The 27 member states' agreement does allow for state support for existing nuclear power plants subject to compliance with EU rules on state aid.

market after months of sparring between France and Germany over state support for nuclear energy, the European Council said Tuesday.

It had been blocked by Franco-German disagreement after Paris pushed for measures to support nuclear energy, which alarmed Berlin. The debate focused on programmes known as contracts for difference that would allow member states to get back money from energy producers when electricity prices rose higher than a certain limit.

"The council found a balanced agreement on this point... member states that support lifetime-extension investments , the use of CfDs is not a mandatory solution, but remain still a possibility," the EU's energy commissioner Kadri Simson said.

 

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