FINWIRES · TerminalLIVE
FINWIRES

France Reportedly Plans $12 Billion Annual Push to Cut Fossil Fuel Dependence

-- France plans to raise support for electrification to about 10 billion euros ($12 billion) annually through 2030, aiming to reduce reliance on imported fossil fuels amid global energy disruptions, according to multiple media reports.

Prime Minister Sebastien Lecornu said the government will increase annual support to 10 billion euros from about 5.5 billion euros, focusing on long-term electrification instead of short-term fuel subsidies.

France currently relies on imported fossil fuels for about 60% of its energy use, despite having significantly cheaper domestically produced electricity, Lecornu said in a televised address.

The government aims to replace 85 terawatt-hours of gas consumption, roughly 20% of imports, with domestic electricity by 2030 as part of the transition strategy, according to the reports.

Measures include installing about one million additional heat pumps annually and phasing out gas boilers in new residential buildings starting next year.

By 2050, around two million social housing units are expected to eliminate gas heating, Lecornu added.

France is also targeting a sharp rise in electric vehicle adoption, aiming for two out of three new car sales to be electric by 2030.

Automakers are set to increase electric vehicle production to 400,000 units annually by 2027, with output targeted to reach one million units per year by 2030.

The government will also roll out subsidized EV leasing from June, aimed at helping at least 50,000 low-income households access electric mobility.

The government said funding will be reallocated from existing budgets and from efficiency gains, rather than through new spending, helping maintain fiscal discipline targets.

Officials emphasized avoiding broad fuel subsidies, arguing such measures are costly and mainly benefit oil-exporting nations without addressing structural energy challenges.

The policy shift marks a departure from earlier crisis-era support programs, as France prioritizes long-term electrification to stabilize energy costs and improve resilience.

Related Articles

Australia

Jefferies Raises Quest Diagnostics Price Target to $225 From $220

Quest Diagnostics (DGX) has an average rating of overweight and mean price target of $219, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $204.33, Change: $+8.02, Percent Change: +4.09%

$DGX
Australia

Truist Securities Cuts Tractor Supply Price Target to $44 From $55, Hold Rating Kept

Tractor Supply (TSCO) has an average rating of overweight and mean price target of $56.19, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $39.92, Change: $-4.90, Percent Change: -10.92%

$TSCO
Sectors

Sector Update: Energy

Energy stocks were higher Tuesday afternoon, with the NYSE Energy Sector Index rising 1.1% and the State Street Energy Select Sector SPDR ETF (XLE) adding 1.2%.The Philadelphia Oil Service Sector Index was climbing 1.8%, while the Dow Jones US Utilities Index fell 1.3%.Front-month West Texas Intermediate crude oil was rising 4.8% to $93.94 a barrel, and the global benchmark Brent crude contract was advancing 4.4% to $99.68 a barrel. Henry Hub natural gas futures increased 0.3% to $2.70 per 1 million BTU.In corporate news, Halliburton (HAL) shares gained 4.1% after it reported lower Q1 adjusted net income and revenue that still topped analysts' expectations.

$HAL