nuclear-news

Nuclear in decline: EDF accumulates excesses, the State takes the hit and the French pay the bill without flinching.

The Hinkley Point EPR project, a symbol of budgetary excesses and opaque management, raises crucial questions about the future of French nuclear energy and the State’s financial commitment

, 05/09/2025, https://techguru.fr/2025/05/09/nucleaire-en-declin-edf-accumule-les-derives-letat-encaisse-et-les-francais-paient-la-facture-sans-broncher/

IN BRIEF

The Hinkley Point EPR project has become a financial disaster, with a budget that has ballooned to €54 billion.

EDF, now entirely state-owned, bears 85% of the costs , effectively committing public money without sufficient parliamentary control.

The Hinkley Point construction site is a logistical disaster , with working conditions criticized and significant delays to the schedule.

This project raises questions about French 
energy policy and the future of nuclear power, calling for a thorough democratic debate.

This project raises questions about French 
energy policy and the future of nuclear power, calling for a thorough democratic debate.

The National Assembly recently witnessed a heated debate surrounding the Hinkley Point EPR project, a project that has crystallized tensions surrounding the French nuclear industry. This project, initially presented as a technological showcase, has turned into a financial drain for EDF, and by extension, for French taxpayers. As the bill continues to mount, MPs are questioning budgetary overhangs and the lack of parliamentary oversight. Far from being a simple isolated incident, Hinkley Point raises crucial questions about the management of nuclear projects internationally.

When the bill explodes

The European Pressurized Power Plant (EPR) at Hinkley Point was supposed to be the flagship of the French nuclear industry. However, over the years, the project has accumulated delays, technical complications, and cost overruns. Initially estimated at £18 billion in 2016, the budget has now reached €54 billion. This cost explosion is symptomatic of poor management and an underestimation of risks from the outset. Aurélie Trouvé, a member of parliament for La France Insoumise, described the project as a “financial abyss” during a speech in the National Assembly .

The consequences of this financial drift are serious for EDF, a company now entirely owned by the State. 
With 85% of the costs at its own expense, EDF is effectively committing public money without any real parliamentary safeguards . This situation is all the more worrying as it reveals a democratic anomaly: Bercy, the Ministry of Finance, does not have the construction contract, thus depriving MPs of a key element of control. The debate surrounding Hinkley Point is thus going beyond the technical sphere to become a major political issue.

EDF and the taxpayer’s hostage

The full nationalization of EDF in 2023 has redefined the stakes surrounding Hinkley Point. As the sole shareholder, the French state finds itself on the front line when it comes to the project’s budgetary implications. Aurélie Trouvé pointed out that the state was already an 85% shareholder during the initial negotiations in 2015 , making the lack of oversight over such a binding contract incomprehensible.

The withdrawal of Chinese partner CGN, initially planned to co-finance the project, left EDF alone to face the additional costs. In April 2025, Energy Minister Marc Ferracci called on the United Kingdom to assume its financial responsibilities. However, the British silence leaves uncertainty surrounding the future of the financing. This situation calls into question the role of the state in managing major industrial projects and the relevance of committing public money to such risky undertakings.

Symbol of an industrial shipwreck

Beyond the financial issues, Hinkley Point is also the scene of numerous logistical and human setbacks. The construction site, which was initially scheduled to be operational in 2025, has now seen its commissioning postponed to 2029, or even 2031. Working conditions on the site have also been singled out, with workers denouncing appalling conditions , as reported by the Guardian in a Guardian investigation.

The impact on EDF is significant. In 2024, the company had to record a €12.9 billion impairment charge due to the project’s difficulties. Moody’s has also downgraded EDF’s credit profile, highlighting the growing financial pressures on the company . These challenges illustrate the complexity of nuclear investments and the need for rigorous and transparent management.

A turning point for French nuclear energy

The management of Hinkley Point raises questions about the future of nuclear energy in France. As the country prepares to define its energy roadmap for the next ten years, the failure of this international project could influence future choices. Members of Parliament, such as Charles de Courson, are calling for a broader democratic debate on these issues, emphasizing that decisions made today will have lasting consequences for public finances and national energy policy.

This complex picture of Hinkley Point’s challenges and failures calls for a broader reflection on the state’s role in the nuclear sector. How can technological ambitions be reconciled with financial responsibilities? What lessons can be learned to prevent such projects from becoming financial disasters in the future? These essential questions must be answered to ensure a sustainable and responsible energy transition.

May 18, 2025 - Posted by Christina Macpherson | France, politics