Electricité de France Placed On CreditWatch Negative On Nuclear Outages And Adverse Political Decisions

On Jan. 13, 2022, French integrated power utility Electricité de France S.A. (EDF) revised down its French nuclear output for 2022 to 300-330 TWh from 330-360 TWh mainly because of defaults that prolonged outages for five of EDF's 56 French nuclear reactors. Significant downside risk remains on nuclear availability on 2022-2023 because EDF is checking other reactors for similar defaults and has yet to communicate the final date of these reviews. On the same day, the French government announced that the volumes of regulated access to historic nuclear energy (ARENH) EDF must deliver to alternative suppliers from April to December 2022 will be increased by 20 TWh to 120 TWh, and that the regulated customer yearly tariff increase for February

...January 17, 2022 - On Jan. 13, 2022, French integrated power utility ElectricitT de France S.A. (EDF) revised down its French nuclear output for 2022 to 300-330 TWh from 330-360 TWh mainly because of defaults that prolonged outages for five of EDF's 56 French nuclear reactors. Significant downside risk remains on nuclear availability on 2022-2023 because EDF is checking other reactors for similar defaults and has yet to communicate the final date of these reviews. - On the same day, the French government announced that the volumes of regulated access to historic nuclear energy (ARENH) EDF must deliver to alternative suppliers from April to December 2022 will be increased by 20 TWh to 120 TWh, and that the regulated customer yearly tariff increase for February 2022 will be capped at 4%, with a postponement to February 2023 of any new increase in regulated prices. - Based on our preliminary estimations, the combined impact of these recent developments could cut EDF's 2022 EBITDA, as adjusted...

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