Catherine McGregor, CEO of the French energy company Engie, warned against returning to renewable energy contracts and decarbonization goals, stating that such actions could jeopardize future investments in France. She made her remarks at the competitiveness summit in Paris held on Tuesday, asserting that "without trust, we cannot invest."
Proposal to Reduce Green Energy Commitments
In the French government's 2027 budget proposal, Prime Minister Sébastien Lecornu mentioned reducing several renewable energy contracts, arguing that subsidies for green energy projects, especially solar panels, have created a heavy financial burden for the government. McGregor criticized this approach, emphasizing that "a contract is a contract" and that trust is crucial for investors to commit to energy projects in the long term.
Financial and Political Challenges in France
The public financial situation in France has become a central political issue, especially with the upcoming presidential elections next year. Emmanuel Macron's minority government is seeking ways to reduce spending and control a budget deficit projected to reach 5.4% of GDP. These conditions could impact investment decisions and highlight the need for stability in energy policies.
McGregor also pointed to challenges at the European Union level, stating that Ursula von der Leyen's second term as President of the European Commission has faced political opposition against the bloc's core green policies. However, she emphasized the EU's commitment to decarbonization, stating that this commitment provides investors with the necessary framework for long-term planning.
She added, "Europe has an advantage: it moves slowly, and this brings stability that is very appealing to investors." McGregor also defended the competitiveness of renewable energy projects, stating that these projects can be produced quickly and locally, especially in times of high gas prices.
She continued, "Renewable projects, when done correctly, organized, and on a large scale, can be competitive." Ultimately, these discussions illustrate how political decisions can impact the future of energy in France and Europe and highlight the importance of maintaining trust in energy policies to attract investors.
