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Court set-back to France’s EDF nuclear supply contracts

France’s EDF suffers second setback over nuclear supply contracts, https://af.reuters.com/article/energyOilNews/idAFL8N2D93OF PARIS, May 27 (Reuters) – A French court ruling on Wednesday ordered state-controlled utility EDF to accept Gazel Energy’s suspension of supply contracts under a force majeure clause prompted by the coronavirus pandemic.In the decision, seen by Reuters, the president of the Paris commercial court said conditions for force majeure in ARENH nuclear power contracts between the two companies were “evidently met”.

The verdict followed a similar ruling last week that ordered EDF to accept Total’s suspension of supply contracts.

Total and Gazel Energy have sought to invoke the force majeure clause in contracts after the pandemic cut electricity demand by around 20% and pushed prices far below that specified in their existing agreements. (Reporting by Benjamin Mallet; writing by Matthieu Protard; editing by Jason Neely)

May 27, 2020 - Posted by Christina Macpherson | business and costs, France, Legal

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