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Windtech International May June 2026 issue

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The European Commission has approved a French state aid scheme to support offshore wind energy under the Clean Industrial Deal State Aid Framework (CISAF), adopted on 25 June 2025. The scheme will support the construction and operation of 11 offshore wind farms in the North Sea, the Atlantic and the Mediterranean. Together, the projects are expected to provide up to 11.1 GW of installed capacity and generate up to 47.8 TWh of renewable electricity annually, equivalent to around 10.6% of France's annual electricity consumption.

The scheme will run for 25 years with a maximum budget of €63 billion. Financial support will be awarded through a transparent and non-discriminatory competitive bidding process using two-way contracts for difference (CfDs).

Under the CfD mechanism, payments will be based on the difference between the successful bidder's reference price and the market electricity price. When the market price falls below the reference price, the beneficiary will receive the difference. When the market price exceeds the reference price, the beneficiary must repay the difference to the French authorities.

The European Commission concluded that the scheme complies with the requirements of the CISAF. It found that the measure is necessary, appropriate and proportionate to support the transition to a net-zero economy while including safeguards to maintain effective market functioning, including provisions that prevent compensation for electricity generated during periods of negative market prices.

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