By Giulia Petroni
Electricite de France SA said the French government’s new measures to curb a rise in electricity bills would have an estimated impact of up to 8.4 billion euros ($9.62 billion) on the company, and withdrew its earnings guidance for the year.
The French state-controlled utility said late on Thursday that the final impact of the measures on earnings would depend on market prices during the implementation period. It said it would consider steps to strengthen its balance sheet and protect its interests.
As part of the government measures, EDF will have to increase the amount of electricity sold to competing suppliers to 20 terawatt-hours at a price of Euro 46.2 per megawatt hour. In France, energy suppliers secure nuclear power from the EDF at fixed prices, known as the Arrenhe price mechanism.
EDF also said it has lowered its nuclear-production estimate for the current year from 300 to 330TWh from the previous 330-360TWh. The modification is due to an extension of the outage period for its five nuclear reactors.
EDF is all set to release the full year financial results on February 18.
Write to Giulia Petroni at [email protected]