Before its renationalisation, EDF suffered an exceptional loss in the first half of the year

Europe 1 with AFP 9:17 a.m., July 28, 2022, modified at 9:18 a.m., July 28, 2022

A few months before its 100% takeover by the State, the energy company EDF announced Thursday that it had suffered a historic loss in the first half of 5.3 billion euros, due to the drop in production of nuclear electricity, and its contribution by the State to contain the bill of the French.

Historically low production

This historically low production is the consequence in particular of the shutdown of 12 reactors out of 56 in France for corrosion problems, and 18 others for scheduled maintenance operations, while Europe is going through an energy crisis caused by the war in Ukraine and the drop in Russian gas supplies.

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EDF's turnover, on the other hand, rose sharply (+67.2%), to 66.262 billion euros, supported by the sharp rise in electricity and gas prices in Europe.

"Has there ever been a semester in the history of EDF whose figures were so negative? I doubt it very much," acknowledged its CEO Jean-Bernard Lévy during the presentation of the results.

They reflect "the difficulties encountered in terms of nuclear production in France and to a lesser extent hydroelectricity, as well as the effect of the tariff shield put in place in France for 2022", he specified, quoted in the group's press release. .

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The government has indeed forced EDF to sell more cheap electricity to its competitors to protect household bills.

“These events force the group to buy electricity in a context of high market prices”, summed up the energy company, 84% owned by the French state, and whose government has planned 100% renationalization. in the coming months for 9.7 billion euros.

The group also indicated that it would maintain its "nuclear production forecast for the year in the range of 280 to 300 TWh", a forecast "confirmed" by the validation on Wednesday by the Nuclear Safety Authority of its strategy to control the problems. corrosion encountered in its nuclear fleet.

A group in great difficulty

It is therefore a group in great difficulty that the State is preparing to renationalise, whose net financial debt, at 42.8 billion euros at the end of June, was stabilized by a capital increase of 3.1 billion euros, launched in March.

The renationalisation, via a takeover bid (OPA) of the 16% of shares not held by the State, should allow the group, despite its critical financial situation, to borrow at a lower cost.

It will need it greatly, in order to meet colossal challenges: to be the "armed wing" of the State in the greening of its energy policy and the conquest of greater sovereignty in this area, an issue brought back to the fore by the war in Ukraine.