Three offshore wind farms in France have been granted the ability to temporarily halt electricity production during periods of negative market prices, the energy transition ministry said, in a move aimed at reducing public expenditure and improving grid stability.
The Fécamp, Saint-Nazaire and Saint-Brieuc wind farms have amended their power purchase agreements (PPAs), which were previously structured to ensure continuous generation regardless of market conditions. These changes follow consultations between the government and project operators, the ministry added.
“Electricity was bought at a fixed rate, even when market prices turned negative—resulting in losses when the power was resold,” the ministry said. Under the revised terms, operators can now reduce or stop output and participate in France’s electricity adjustment mechanism.
The first shutdowns under the new framework occurred during the weekend of May 10–11, the ministry confirmed.
The affected wind farms were built under the country’s “purchase obligation” regime, where the state guarantees a fixed tariff for electricity output. While the system has helped scale up renewables, it has also created financial inefficiencies when electricity prices fall below zero, often during times of oversupply.
“These changes aim to better align renewable generation with supply-demand balance in the electricity system,” the ministry said.
The shift reflects broader reforms introduced in the 2025 Finance Act, which also permits older, high-capacity onshore wind farms to temporarily cease operations under similar market conditions. A first decree enabling this change was submitted to the Higher Energy Council on April 29, with a second decree expected in the latter half of 2025.
In recent years, France has moved away from purchase obligations toward a “contract-for-difference” model, where operators receive top-up payments based on market prices. This structure provides flexibility and incentives for generators to curtail production when prices turn negative. The ministry noted that only smaller installations still operate under fixed purchase obligations.
“The overall goal is to reconcile the growth of renewable energy with the real-time balancing needs of the electricity system,” the ministry said.
