TotalEnergies and EDF sign 12-year deal to supply low-carbon nuclear electricity, ensuring cost stability and sustainability for French industrial operations.
TotalEnergies has entered into a significant long-term agreement with EDF aimed at ensuring a stable and low-carbon electricity supply for its refining and chemical operations across France. The agreement was formally signed by Patrick Pouyanné, Chairman and CEO of TotalEnergies, and Bernard Fontana, Chairman and CEO of EDF. This collaboration represents a strategic move to strengthen energy security while advancing decarbonization objectives in industrial sectors.
The partnership is based on a Nuclear Production Allocation Contract (CAPN), which will run for a period of 12 years, commencing on January 1, 2028. Under the terms of this agreement, EDF will dedicate a portion of the electricity generated from its existing nuclear power fleet to TotalEnergies. This allocation is expected to meet approximately 60% of the electricity demand of TotalEnergies’ refining and chemical facilities within France. The total electricity requirement covered under this arrangement is estimated at around 400 megawatts, highlighting the scale and importance of the deal.
Through this agreement, TotalEnergies will gain access to competitively priced electricity derived from nuclear power, which is widely recognized for its low-carbon footprint. This will support the company’s efforts to reduce emissions associated with its energy-intensive industrial operations. At the same time, EDF will benefit from a more balanced risk-sharing structure, as the contract allows it to distribute the financial and operational uncertainties linked to nuclear energy production, such as output variability.
Importantly, EDF will continue to retain full responsibility for the management, operation, and maintenance of its nuclear assets. This ensures that operational control and safety standards remain centralized within EDF, while still enabling industrial consumers like TotalEnergies to secure reliable energy supplies over the long term.
Speaking about the agreement, Patrick Pouyanné emphasized that the partnership reflects a mutually beneficial outcome achieved through constructive discussions. He noted that the deal will provide TotalEnergies’ electricity-intensive sites with a dependable and cost-effective supply of low-carbon power over an extended period. This, in turn, will enhance the competitiveness and sustainability of its industrial activities in France.
Similarly, Bernard Fontana highlighted the broader strategic importance of the agreement. He pointed out that the collaboration contributes to strengthening both energy and industrial sovereignty in France. By ensuring access to stable, affordable, and low-carbon electricity, EDF is helping to provide the long-term visibility and confidence required for industrial players to maintain and develop their operations in an increasingly competitive and environmentally conscious market.
Overall, this partnership underscores a growing trend of collaboration between major energy producers and industrial consumers to secure cleaner energy solutions. It also demonstrates how long-term agreements can play a crucial role in supporting decarbonization while maintaining economic competitiveness in key sectors such as refining and chemicals.
