The European Commission has cleared the Belgian support to long-term operation of three nuclear power reactors Tihange 1, Doel 1 and Doel 2, considering that Belgium's plans to compensate Engie-Electrabel and EDF Belgium for potential financial risks linked to long-term operation of three nuclear reactors were in line with EU state aid rules.
In 2014 and 2015, Belgium reached two agreements with Engie and EDF to extend the operational lifetime of the nuclear reactors Doel 1 and Doel 2 (owned by Engie) and Tihange-1 (owned by Engie together with EDF Belgium), until 15 February 2025 and 1 December 2025, respectively. In turn, the companies committed to invest around €1.3bn in exchange for authorisation to run the plants for another ten years. The companies would receive financial compensation, if Belgium decides to close the reactors before the end of the ten-year period, modifies the level of nuclear tax to be paid by the owners or changes other economic parameters of the agreements.
According to the Commission, these measures will avoid undue distortions of the Belgian energy market. Mandatory sales of electricity on the regulated electricity markets - Engie Electrabel will have to sell each year a volume equivalent of it's share in the annual power generation of Tihange 1, Doel 1 and Doel 2 - are expected to ensure liquidity on the electricity markets and to help increase competition between electricity suppliers.
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