Paris (Platts)--30Jan2013/439 am EST/939 GMT
French power demand is set to break its correlation with gross domestic product in the future as energy efficiency measures steadily take effect and industry moves away from manufacturing, President of French grid operator RTE Dominique Maillard said Tuesday. Electricity demand growth in France has traditionally been higher than GDP growth, but is now expected to lag behind, Maillard said at the annual Club Energie & Development conference in Paris. As in many European countries, France is undergoing a major change to the structure of its industry, reducing the share of national output from energy-intensive sectors. "There is a structural shift toward tertiary, service sectors...secondly there is the effect of energy efficiency measures...it's a cumulative effect," Maillard said. Article continues below...Request a free trial of: European Power DailyEuropean Power Daily's uniquely comprehensive package of news and pricing information, provides you with daily updates on new policies, projects, power deals, acquisitions, solicitations, alliances, regulatory decisions and evolving trading markets in Europe. It also produces market assessments from the UK, Germany, Switzerland, France, The Netherlands, Belgium, Spain and the Czech Republic.
French power demand is set to break its correlation with gross domestic product in the future as energy efficiency measures steadily take effect and industry moves away from manufacturing, President of French grid operator RTE Dominique Maillard said Tuesday. Electricity demand growth in France has traditionally been higher than GDP growth, but is now expected to lag behind, Maillard said at the annual Club Energie & Development conference in Paris. As in many European countries, France is undergoing a major change to the structure of its industry, reducing the share of national output from energy-intensive sectors. "There is a structural shift toward tertiary, service sectors...secondly there is the effect of energy efficiency measures...it's a cumulative effect," Maillard said.
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European Power Daily's uniquely comprehensive package of news and pricing information, provides you with daily updates on new policies, projects, power deals, acquisitions, solicitations, alliances, regulatory decisions and evolving trading markets in Europe. It also produces market assessments from the UK, Germany, Switzerland, France, The Netherlands, Belgium, Spain and the Czech Republic.
GDP grew by around 1.7% in 2010 and 2011 but flatlined in 2012 and the outlook for 2013 was forecast at 0.4% by the IMF in October. While gross French power demand in 2012 rose by 2.1% year-on-year to 489.5 TWh in 2012, it was due to colder temperatures than in 2011, when mild weather brought some of the lowest demand in the last decade. French industrial electricity demand fell 4% year-on-year in 2012 to 70 TWh as the country's heavy industry continued to feel the pressure from a weak economy. Recent announcements of factory closures will further curb manufacturing output and the government has pledged to improve the competitiveness of companies. Electricity consumption in the household and small businesses category, which is very sensitive to cold weather, rose 2.4% in 2012 to around 200 TWh.--Robin Sayles, newsdesk@platts.com--Edited by Jonathan Dart, jonathan_dart@platts.com
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