4 ms·
France is one of the countries that gives a price guarantee to producers of renewable energy. If the market (wholesale) price is below I think 8c per kWh, they
by locallost 4y ago
France is one of the countries that gives a price guarantee to producers of renewable energy. If the market (wholesale) price is below I think 8c per kWh, they still get their 8c. But it's also capped to that price so it can't get any higher. When the prices are over the limit, the government gets to keep the difference, and the market prices were above that all year. It says so in the article:
> France will reap €30.9 billion ($31 billion) from renewable-power producers over two years as Europe’s energy crisis boosts wholesale prices beyond guaranteed levels.
This is in contrast to e.g. Germany that also gives a guarantee of the minimal prices, but the producers get to pocket the money even if it's way above the guarantee.