French President Emmanuel Macron has outlined a plan to bring down energy costs as a goal for the upcoming extraordinary European summit on the 30th. He emphasized a target aligned with what Spain and Portugal achieved under what is being called the Iberian exception.
Macron stated, during a Saint-Nazaire speech focused on renewable energy and the inauguration of France’s first offshore wind farm, that the administration would at least aim to replicate the gasoline-related mechanism that helped reduce electricity prices in wholesale markets. He noted that a gas-based cap used to influence electricity pricing yielded tangible results in the wholesale market.
The French president added that, thanks to this gas-linked mechanism, electricity prices in Spain are currently two to three times lower than in much of the rest of Europe.
At the EU Energy Ministers meeting on September 9, France urged other member states to adopt the Iberian exception as a framework for setting electricity prices in response to rising gas costs.
Macron did not spell out whether this would be his stance at the summit on the 30th or whether the Iberian exception would be limited to France alone.
Electricity prices in France surged in wholesale markets, reaching a record level of over 1,000 euros per megawatt hour at the end of August. The spike was driven by higher European gas prices and concerns about potential shortages as nearly half of France’s nuclear reactors were offline for maintenance or due to detected defects this winter.
Macron framed the discussion in terms of European solidarity in energy, suggesting that gas exports to Germany could be part of the solution, while France would likely continue importing electricity from Germany to prevent power outages.
In a contrasting stance, Marine Le Pen, the far-right leader, argued that sending gas to Germany would be unacceptable and that French citizens must be protected under the current conditions. After meeting with the French prime minister, Le Pen criticized the idea of rationing gas for Germany, asserting that such measures were hard to justify for the French public.
Ask the US to lower prices
Separately, Macron delivered a message directed at the United States in light of Russia cutting oil supplies, urging Europe to press its gas suppliers for better terms. He argued that to stay competitive, Europe must negotiate to lower costs while maintaining secure energy imports. The EU would be better positioned if its allies could offer gas at more favorable prices, avoiding the current burden of high costs on European industries. Some allies reportedly charge 30 to 40 euros per megawatt hour in certain circumstances, while Europe still faces bids around 140 to 150 euros in some markets.
Macron highlighted what he sees as divergences within European energy markets, including speculative dynamics, which he believes threaten the competitiveness of key industries like fertilizer production. His aim with what he termed an electricity market reform is to align wholesale prices more closely with actual production costs and ensure gas price movements do not disproportionately drive electricity costs. The central objective remains protecting the European industrial base as the bloc negotiates its energy future. Some member states resist moving away from the marginal pricing system advocated by the European Commission in recent weeks, raising questions about how quickly reforms can be implemented.
In closing, Macron underscored the importance of a cohesive European approach to energy, arguing that market reforms should deliver more predictability and stability for industry and households alike. The discussion continues as ministers weigh policy options that could reshape how electricity is priced across member states and how Europe purchases and uses gas in a time of fluctuating prices and geopolitical risk.
Sources referenced in this rewriting are provided for context and attribution purposes.
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